New Taiwan Dollar Posts Biggest Drop in Over a Year on AI Stock Selloff

AI sector stocks suffered a selloff, market sentiment toward the New Taiwan dollar weakened, and the currency posted its largest single-day decline in over a year. The New Taiwan dollar depreciated as much as 1% to NT$32.222 per U.S. dollar, the biggest drop since June 2025. Taiwan's benchmark stock index fell nearly 2%, with TSMC weighing on the broader market the most. A global stock selloff intensified further, with renewed market concerns over AI trading weighing on Asia's tech-heavy markets and sending the New Taiwan dollar lower. The equity decline also pressured the South Korean won, which recorded its largest drop since late September.