Taiwan's record USD23.6 billion trade surplus and 60.9% export growth on AI demand bolster the New Taiwan Dollar, with central bank policy tightening likely if inflation persists.
Taiwan's September trade surplus reached a record USD23.6bn with exports surging 60.9% year-on-year, driven by strong AI-related demand, which provides fundamental support for the New Taiwan Dollar. Additionally, Commerzbank analysts suggest the Central Bank of the Republic of China may adopt a more hawkish stance if inflation continues its uptrend, further strengthening the currency.
Strong AI-related demand.
It may lean more hawkish if the inflation uptrend persists.
The New Taiwan Dollar strengthens following a record USD23.6 billion trade surplus in September. Driven by a 60.9% surge in exports fueled by robust AI demand, the currency faces additional support from potential hawkish shifts by the Central Bank of the Republic of China.
The currency is supported by a record trade surplus of USD23.6 billion and a 60.9% increase in exports, largely attributed to sustained global demand for AI technology.