EWT

The Week

EWT.US fell 7.04% this week to close at $106.26, underperforming the S&P 500 by about 5.09 percentage points. The week opened at $115.45 on Monday then slid lower over the next four sessions. Thursday saw volume jump to 11.76m shares, and Friday printed the week’s low of $105.90 before settling near the bottom of the range. The latest close is roughly 10% below the 60-day range high of $118.47, while still near the 60-day moving average.

Sector News

The dominant story was a sharp sell-off in Taiwan’s benchmark index. The TAIEX dropped 1.95% on 13 October and a further 3.4% on 15 October to close at 46,969.87. The week’s headlines mixed fresh inflows into leveraged Taiwan ETFs targeting a 50,000-point scenario with reports that an Asian tech crash was turning into broader panic. Schroders also expanded its active ETF lineup. Separately, the Taiwan dollar weakened by 7.3 cents and broke below the 32.3 level against the US dollar.

The Week Ahead

US housing and inventory data dominate the calendar. The NAHB housing market index is due on 19 October, with consensus at 32, matching the prior reading. Housing starts and building permits follow on 20 October; starts are forecast at 1.305 versus 1.275 previously, while permits are seen at 1.395 against 1.403. Weekly EIA crude and Cushing inventory figures arrive on 21 October. These prints will frame the demand outlook for Taiwan’s export-heavy market.

In Short

EWT.US fell much harder than the S&P 500 this week, pointing to a re-pricing of Taiwan’s risk premium by overseas investors. A single-day drop of more than 3% in the TAIEX sat alongside continued inflows into leveraged ETFs, leaving the tape split between retreat and chase. At about 27x earnings, EWT.US has already given back part of its recent premium. What matters next is whether US housing data stabilises the external demand picture, or whether Taiwan’s tech de-rating spreads further.

This article is generated by LongbridgeAI from market data, for information only and not investment advice.