MoonlightGamer

The Taiwan Weighted Index is a barometer of the overall stock market prices.
When it comes to investing in Taiwanese stocks, you will definitely hear the term "Taiwan Stock Market" or "Taiwan Market Index," but what exactly is the Taiwan Market Index? In simple terms, the Taiwan stock market's weighted index is a representation of the overall trend of the market prices.
The weighted stock index compiled by the Taiwan Stock Exchange reflects the overall performance of all common stocks listed on the exchange. Whether you see in the news "Today’s market rose or fell by points," or hear investors discuss "How is the market trend," they are actually referring to this index. This indicator is widely used because it covers the entire landscape of Taiwanese listed companies, from mega-corporations like TSMC to small and medium-sized listed companies, all included in the calculation.
How is the market price calculated? The difference between two weighting methods
To understand how the Taiwan Market Index fluctuates, you need to first understand its calculation logic. In global stock markets, the calculation of market indices mainly adopts two methods

What is PCE? An Interpretation from the Taiwan Market
Many Taiwanese investors pay close attention to U.S. economic data, but the term PCE index can often be confusing. What is the PCE index? In simple terms, the PCE (Personal Consumption Expenditures) index is a key indicator used by the U.S. to measure residents' purchasing power and consumption willingness. It reflects not only the price changes of goods and services but also the actual spending behavior of consumers in response to economic conditions.
Understanding the PCE index is crucial for Taiwanese investors because the U.S., as the world's largest economy, has its consumption trends directly affecting Taiwan's exports, exchange rates, and stock market performance. Taiwan relies heavily on international trade, and fluctuations in the U.S. PCE index act like a weather vane for the economy, signaling future market trends.
Why should the Taiwanese market pay attention to the PCE index?
Before delving into the details of what the PCE is, let's first look at why it is so important to Taiwan. The U.S. PCE

Macroeconomic Background: The Battle Between Strong Economic Data and Policy Expectations
US Q3 GDP initial estimate shows a quarter-over-quarter annualized growth rate of 4.3%, surpassing market expectations of 3.3% and marking the fastest growth in recent years. Simultaneously released, the core Personal Consumption Expenditures (PCE) Price Index(Core PCE) increased by 2.9% quarter-over-quarter, remaining in line with expectations. This data should have reinforced the Federal Reserve's stance on maintaining high interest rates, but political variables have introduced new interpretative angles for the market. The Federal Reserve's future policy direction faces uncertainty, exerting clear downward pressure on the US dollar index.
US Dollar Index: Key Support Broken, Warning of Downward Risk
The US dollar index fell 0.37% on December 23, reaching a low of 97.74, marking two consecutive days of decline. More notably, the dollar index has effectively broken below the 98.0 level, hitting a low not seen in nearly two and a half months at 97.85. The liquidity brought by the Christmas holiday

The article discusses the head and shoulders top pattern of Tencent stock, analyzing its formation process and market psychology changes. Investors should pay attention to the formation of the right shoulder and the neckline break to determine the exit timing, and understand the bullish signal of the inverse head and shoulders. Technical analysis does not guarantee profits; it should be combined with fundamentals and market environment to improve success rates.

If you witnessed the continuous circuit breakers in the US stock market in 2020, you might have personally experienced the madness of the investment market. Buffett has only seen the US stock market hit the circuit breaker 5 times in his lifetime, but that year we experienced 4 times. What does this number represent? Why does the market need such emergency brakes? Today, let's deeply analyze the US stock circuit breaker mechanism—this invisible firewall.
Historical Wake-up Call: From Black Monday to the COVID-19 Pandemic Shock
October 19, 1987, known as "Black Monday" in US history, the Dow Jones Industrial Average plummeted 508.32 points in a single day, a drop of 22.61%. At that time, there was no circuit breaker mechanism, leading to a chain collapse of global stock markets within a few hours. It was this painful lesson that prompted regulators to establish the first US stock circuit breaker mechanism.
After 33 years, from March 9 to March 18, 2020, panic triggered by the COVID-19 pandemic once again

When the stock market experiences extreme volatility, exchanges suddenly hit the pause button. This mysterious market protection mechanism is called the U.S. stock circuit breaker system, and its emergence has changed the way modern financial markets manage risk. To understand how this mechanism works, let's start with the most disastrous day in history.
Black Monday: The Birth of the Circuit Breaker System
On October 19, 1987, Wall Street experienced a disaster. The Dow Jones Industrial Average plummeted by 508.32 points in a single day, a decline of 22.61%. This day is known as "Black Monday," and global stock markets fell in unison within a few hours, leading to a total market crash.
What caused this storm? Looking back to the beginning of the year, the NASDAQ index soared from 348 points to 430 points, a 23.6% increase in just three months. Subsequently, dividend distributions, index corrections, and increased selling volume signaled that the market was reaching a peak. By September and October, more dividend payout days occurred.

Due to the Christmas holiday, major global markets experienced a significant decline in activity. The US stock market was closed all day on December 25th and resumed trading on the 26th; Hong Kong stocks and major European exchanges (London, Frankfurt, Paris) also closed simultaneously, while Asia-Pacific markets such as Australia and Singapore paused trading according to local customs. In a market environment characterized by light trading, several noteworthy market movements have occurred.
Offshore RMB Reenters the "6" Range, End-of-Year Currency Conversion Demand Accelerates Appreciation
Market focus is on the strong performance of the RMB exchange rate. On Thursday (December 25th), the USD/CNH (US dollar to offshore RMB) fell below 7.0, reaching a low of 6.9960, the lowest since September 2024; the USD/CNY (US dollar to onshore RMB) also dropped to 7.0051, marking a record since May 2023. The recent appreciation of the offshore RMB is mainly driven by strong end-of-year currency conversion demand, coupled with a lack of counteracting strength from the US dollar.

Understanding Company Value Through EPS
Earnings per Share, abbreviated as EPS, is one of the most commonly used indicators to evaluate the investment value of stocks. In simple terms, it reflects the portion of net profit allocated to each outstanding share of the company. Investors can quickly assess how much profit a dollar invested can generate by using this indicator.
The higher the EPS, the stronger the company's profitability efficiency. This is also why many investors, when analyzing a listed company, first look at its EPS trend. From the EPS data of Apple (AAPL.US) from 2019 to 2024, it can be seen that as the company's business develops, earnings per share continue to rise, which is a stable growth signal that investors favor.
Practical Stock Selection: How EPS Helps You Make Decisions
Many novice investors often make the mistake of only looking at EPS

The Logic Behind the USD Exchange Rate
The essence of the USD exchange rate reflects the trading relationship between the US dollar and other currencies. Taking EUR/USD as an example, if the index is 1.04, it means that exchanging 1 euro requires 1.04 US dollars. When this value rises to 1.09, the euro appreciates and the dollar depreciates; conversely, a drop to 0.88 indicates the euro depreciates and the dollar appreciates.
The US Dollar Index (DXY) is composed of a weighted average of the exchange rates of six major international currencies against the US dollar, including the euro, Japanese yen, British pound, Canadian dollar, Swedish krona, and Swiss franc. The index's high or low indicates the strength or weakness of the dollar relative to these currencies. However, it is important to note that the monetary policies of different countries often vary, so a Federal Reserve rate cut does not necessarily directly cause the dollar index to fall; the key is whether the component countries also take corresponding measures.
Current Dilemma of the US Dollar
The dollar has declined for five consecutive days, and the current US Dollar Index hovers around 103.

Is now a good time to buy Japanese Yen? Let's look at this data first
On December 10, 2025, the TWD to JPY exchange rate reached 4.85, nearly 8.7% higher than the 4.46 at the beginning of the year. In other words, exchanging for Yen now already offers profit potential just from the exchange rate appreciation. Plus, with the recent hawkish stance of Bank of Japan Governor Ueda Kazuo, market expectations suggest that the December 19 meeting will raise interest rates to 0.75% (a 30-year high), giving the Yen's exchange rate considerable support.
But this doesn't mean you should convert everything at once — on the contrary, the Yen is still fluctuating within a range, and a phased approach is the best strategy.
Why convert to Yen? It's not just for travel
Most people think they only need Yen when traveling to Japan, but from a financial market perspective, Yen is worth holding more than you might think:
Everyday life
- Japan travel and shopping mainly use cash (credit card penetration is only 60%)
- Japan purchasing agents and online shopping require direct

By December 2025, the Taiwanese dollar against the Japanese yen reached a level of 4.85, an increase of 8.7% from the beginning of the year. More people are looking to exchange for yen, but do you know? Choosing the wrong method could cost you an extra 2000 NT dollars. We tested the four major currency exchange channels in Taiwan to reveal the true costs.
Why is it worth exchanging for yen? It’s not just for traveling abroad
The yen ranks among the top three foreign currencies in Taiwan’s currency market, for two main reasons.
Travel and Lifestyle
Japanese merchants still primarily use cash (credit card penetration is only 60%), and shopping in Tokyo, skiing in Hokkaido, or vacationing in Okinawa all require cash. Additionally, Japanese purchasing agents, anime merchandise, and direct purchases of cosmetics often need to be paid in yen. People planning to study or work in Japan usually exchange currency in advance to lock in the exchange rate.
Financial Investment
The yen is one of the three major safe-haven currencies globally (the other two are the US dollar and Swiss franc). Japan’s economy is stable, and its debt is manageable. During the Russia-Ukraine conflict in 2022, the yen appreciated by 8% in one week, successfully buffering the stock market.

Trend following emphasizes continuing to follow the trend after it is established, rather than simply "buying low and selling high." The main challenges include judging the trend direction and missing early gains. Chart patterns, moving averages, trendlines, and pivot points can be used to determine the trend, and exit strategies should be set carefully. Success requires patience and discipline, avoiding interference from predictions or emotions.

In December, the Taiwanese stock market saw financial and insurance stocks become the focus. The Financial & Insurance Index rose over 2% during the trading session, reaching a new all-time high of 2412.7 points, with Taiwan Shin Kong Financial (2887), which recently gained eligibility for inclusion in large high-yield ETFs, standing out the most.
Market Effects Caused by Changes in ETF Constituents
Recently, several Taiwanese stock ETFs have adjusted their constituent stocks, involving funds totaling hundreds of billions of NT dollars. The Taiwan High Dividend ETF, with assets exceeding 400 billion NT dollars, was newly included in Taiwan Shin Kong Financial, effective from the 16th, with an eight trading day transition period for building positions. Changes in the constituents of such index-based ETFs often accompany large-scale capital inflows, prompting institutional investors to position themselves in advance.
On the 16th, institutional investors bought 136,000 shares of Taiwan Shin Kong Financial in a single day, causing the stock price to rebound significantly and surge, with trading volume exceeding 430,000 shares. The buying momentum continued the next day, with trading volume reaching 490,000 shares before noon, surpassing the entire previous day's volume. Ultimately

December 18 Market Overview: Global Stock Markets Generally Retreat, Cryptocurrency Fluctuates Differently
The three major U.S. stock indices all declined today, with the Dow Jones Industrial Average down 0.47%, the S&P 500 down 1.16%, and the Nasdaq Composite dropping 1.81%. Among them, the Philadelphia Semiconductor Index fell the most, dropping 3.78%. In the Hong Kong night market futures, the Hang Seng Index futures stood at 25,304 points, down 145 points from yesterday’s close; the China Enterprises Index futures were at 8,785 points. The cryptocurrency market showed mixed volatility, with Bitcoin down 0.68 in 24 hours, trading at $92,640; Ethereum, on the other hand, rose against the trend by 2.84%, trading at $3,250.
Trump Escalates Sanctions on Venezuela, Oil Prices Rebound Beyond Expectations
International geopolitical tensions have reignited the energy market. Trump ordered a comprehensive blockade on sanctioned oil tankers entering and leaving Venezuela, triggering renewed concerns over global oil supply. The Venezuelan national oil company

Japanese financial authorities' proactive intervention has become the focus of the market this week. After the central bank raised interest rates by 25 basis points, the yen continued to be sold off, with the USD/JPY rising by 1.39%, approaching the 158 level. Japanese Finance Minister Shōzō Katō repeatedly warned that necessary measures would be taken to address excessive exchange rate fluctuations, signaling another direct intervention following the September US-Japan joint statement.
The risk of closing out carry trades has temporarily eased, boosting the attractiveness of risk assets. The VIX fear index dropped sharply by 11.57%, reflecting a clear improvement in market sentiment. The three major US stock indices all rose, with the Nasdaq leading at 1.31%, the Dow up 0.38%, and the S&P 500 up 0.88%. Tech giants performed remarkably—Nvidia, the strongest component of the Dow, rose 3.9%, Oracle increased 6.6%, and Broadcom gained 3.2%. This tech rebound is closely related to Micron Technology's impressive first-quarter earnings report. In contrast, Nike's weak performance in China dragged down

The NT dollar to Japanese Yen has already surpassed 4.85, and Japan travel next year is about to become popular again. But do you know? Relying solely on exchange rate differences can make you spend thousands of unnecessary dollars. We will break down four common ways to exchange Japanese Yen on the market and tell you with real rates how to exchange in a cost-effective way.
Why exchange for Japanese Yen? It’s not just for traveling
When it comes to exchanging foreign currency, Taiwanese people's first reaction is Japanese Yen. But the用途 of Japanese Yen has long gone beyond "travel pocket money."
Necessities for travel, shopping, and purchasing代理
Many places in Japan still mainly accept cash (credit card penetration is only 60%), especially for shopping in Tokyo, skiing in Hokkaido, and vacations in Okinawa. People who like buying Japanese cosmetics, clothing, and anime peripherals often need to pay directly in Yen to代理 or Japanese websites.
From a financial market perspective: The Yen is a safe-haven currency
The Japanese Yen has long been one of the three major safe-haven currencies (along with the US dollar and Swiss franc) because the Japanese economy

Taiwan Dollar to Japanese Yen has reached 4.85. Do you really know how to exchange money in the most cost-effective way?
As of December 10, 2025, the exchange rate of Taiwan Dollar to Japanese Yen has surged to a new high of 4.85, with a significant increase in travel and Yen hedging demand in Japan. But do you know? Just choosing the wrong currency exchange channel could cost you several cups of bubble tea more.
Compared to the relatively stable Taiwan Dollar to Australian Dollar exchange rate, the Yen is more volatile and offers more arbitrage opportunities. We have conducted on-site calculations of the four most mainstream currency exchange methods in Taiwan, using a real case of 50,000 Taiwan Dollars to show you which method can make your Yen the most valuable.
Taiwan Yen Exchange Four Major Channels Practical Comparison
1. Traditional Counter Exchange: The safest but most costly
Exchange cash for Yen notes directly at a bank or airport counter using Taiwan Dollars. The operation is simple but the cost is the highest. Banks use the "cash selling rate" (1-2% lower than the market spot rate), plus possible handling fees, resulting in the greatest loss.
Using Taiwan

In the foreign exchange trading arena, most people's attention is focused on mainstream currencies like the US dollar, euro, and Japanese yen, but the South African rand (ZAR) has attracted many professional traders due to its high volatility and strong trending characteristics. Today, let's take an in-depth look at this "high-yield but high-risk" investment asset.
What is the South African rand? Why is it worth paying attention to?
The South African rand (ZAR) is the official currency of South Africa, issued by the South African Reserve Bank, and officially adopted in 1961. After multiple reforms of the exchange rate system—implementing managed floating in 1974, abolishing the dual exchange rate system in 1995, and transitioning to a single exchange rate—the rand has gradually evolved into a risk asset currency.
What does "risk asset" mean here? Simply put, the rand is not as stable as the US dollar or Japanese yen. Its value fluctuates depending on global capital flows—when investors are optimistic about the global economy, capital flows into South Africa.