Why does stability in Chinese Taipei matter to US investors?

US tech relies on advanced chips and packaging linked to Taiwan’s ecosystem. Stable ties reduce shipment variance, support predictable capex cycles, and can compress risk premia. That improves earnings visibility for large AI platforms and suppliers in the Nasdaq 100, helping limit volatility during news-driven periods.

How could a Taiwan Strait risk flare-up affect the Nasdaq 100?

A flare-up could disrupt AI chip supply, raise freight and insurance costs, and delay deliveries. Markets would likely add a geopolitical premium, pushing volatility higher and widening spreads. That can pressure growth multiples and lift hedging costs across index heavyweights sensitive to advanced nodes and packaging.

Which indicators show the Nasdaq 100’s current momentum?

RSI at 57.89 shows constructive momentum, while MACD above signal supports bulls. ADX at 13.58 signals a weak trend, so breakouts need confirmation. CCI above 100 and MFI near 70 indicate strong demand. Watch Bollinger band tests and ATR around 309.56 for volatility context.

What should retail investors watch next?

Monitor Chinese Taipei policy updates, Pax Silica roadmap milestones, and US-Taiwan diplomacy signals. Track logistics data, foundry lead times, and any export control changes. On the chart, watch the 50-day average, Bollinger band breaks, and changes in implied volatility to adjust position size and protection.

Law and Government

^NDX Today, February 07: Taiwan Alliance Moves Ease AI Supply Risk

ByHuzaifa Zahoor February 8, 2026February 8, 2026

Chinese Taipei is stepping up value-added diplomacy and security ties with the United States to stabilize AI and semiconductor supply chains. The Pax Silica roadmap and new alliance efforts aim to reduce chokepoint risk across fabs, tools, and logistics. For US investors, steadier links can lower risk premia on AI hardware. The ^NDX remains sensitive to Taiwan Strait risk because megacap leaders rely on advanced chips and packaging. Today’s focus is policy direction: durable cooperation can calm supply shocks, while any flare-up would raise hedging costs and widen spreads.