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Asia's Worst Currency Is in Taiwan as Foreign Funds Depart

  • Taiwan dollar could weaken to 32 in the coming weeks: Gao Qi
  • Local stocks bleed foreign cash as trade war hits tech sector
Visitors at the Bellavita luxury mall  in Taipei.

Visitors at the Bellavita luxury mall  in Taipei.

Photographer: Billy H.C. Kwok/Bloomberg
Updated on

Taiwan’s currency has gone from the dullest to the worst in Asia amid an outflow of overseas cash as the trade war undermines the outlook for the island’s dominant tech sector.

The Taiwan dollar has tumbled 1.4% in the past five days, the biggest loss among regional peers and and second-worst in the world after the Colombian peso. Foreign funds have sold more than $2 billion of local equities in May, the biggest outflows in Asia, as the U.S. administration targeted China’s Huawei Technologies Co. and a slump in the yuan pressured other exporter currencies. It closed 0.2% lower Wednesday at 31.53 a dollar, the weakest in more than two years.