The Taiwan stock market has surged across four consecutive sessions, gaining more than 1,550 points or 3.4 percent during that stretch.
The Taiwan Stock Exchange closed just above the 46,330-point level, though profit-taking could weigh on sentiment as the new trading week begins.
The global outlook for Asian markets is soft, driven by growing pessimism over the trajectory of interest rates in major economies.
European markets ended Friday’s session higher, but weakness on Wall Street is expected to set the tone for Asian trading on Monday.
The TSE finished modestly higher on Friday, with gains from financials and technology stocks offset by weakness in plastics and automotive companies.
The index advanced 356.23 points or 0.77 percent to close at 46,331.45, having traded within a range of 46,070.83 to 46,574.52 during the session.
Wall Street provided a weak lead after major averages opened slightly higher on Friday before turning lower by midday and staying in negative territory.
The Dow dipped 9.45 points or 0.02 percent to finish at 53,559.99, while the NASDAQ sank 138.93 points or 0.52 percent to end at 26,402.42.
The S&P 500 fell 19.23 points or 0.25 percent to close at 7,711.76, though the NASDAQ still managed a weekly gain of 0.9 percent.
The Dow and S&P 500 each rose 0.5 percent for the week despite Friday’s session-end softness dragging on overall momentum.
Selling pressure on Wall Street emerged after Federal Reserve Chairman Kevin Warsh delivered his first speech at the Jackson Hole economic symposium with what many interpreted as a hawkish tilt.
Warsh said that “oversharing policy deliberations and overcommitting to future decisions can lead markets, businesses, and households astray” during his remarks at the high-profile gathering.
However, Warsh also noted that “the numbers that are most concerning are in regard to the price-stability side of the Fed’s dual mandate,” signaling continued inflation vigilance.
Following his comments, the probability of a quarter-point rate hike at the Fed’s next meeting jumped to 57.7 percent from just 35.4 percent, according to CME Group’s FedWatch Tool.
The sharp shift in rate expectations rattled equity markets and raised fresh concerns about the cost of capital heading into the final months of 2026.
Crude oil prices eased on Friday as diplomatic pressure on Iran reduced the geopolitical risk premium that had been supporting energy markets in recent weeks.
West Texas Intermediate crude for October delivery slipped $0.13 or 0.16 percent to settle at $83.40 per barrel, reflecting the subdued risk environment.
Taiwan’s technology-heavy market remains sensitive to global rate signals, given the sector’s reliance on growth-oriented valuations that compress when borrowing costs rise.
Investors will be watching closely for any further signals from the Federal Reserve that could amplify volatility across Asian markets as the week progresses.
