The New Taiwan Dollar (TWD) has soared dramatically against the US dollar, rising over 1.2 TWD during trading today (2nd) to close at 31.064 TWD, marking an appreciation of 9.53 cents or 3.07%, and setting a record for the largest single-day increase since 2002. This unusual movement in the foreign exchange market has drawn significant attention, prompting the Central Bank to issue a rare statement in the evening.

Recent rumors about the 'Mar-a-Lago agreement' suggest that the US is demanding an appreciation of the New Taiwan Dollar, potentially reaching 13.3 TWD level. The Central Bank had already emphasized yesterday that such reports are 'clearly inconsistent with facts.' This evening, the Central Bank reiterated that since early April, media reports indicated that when the US government negotiates tariffs with its major trading partners, it may require counterpart countries' currencies to appreciate, leading to a psychological expectation of TWD appreciation in the domestic market.

Central Bank Governor Yang Chin-long addressed related topics during a Legislative Yuan session and clarified in a May 1 press release that the US Treasury did not ask for TWD appreciation. The Central Bank announced that it had intervened in the market at the appropriate time today. Apart from the aforementioned psychological factors, Taiwan's stock market was led by a 4.63% increase in TSMC, with other weighted stocks in electronics and finance rising as well. The weighted index rose by 552.61 points, closing at 20,787.64 points, with foreign investment net buying reaching NT$429.24 billion, and significant capital inflow increased the supply of US dollars in today's market, facilitating the appreciation of the TWD. The Central Bank took timely market adjustments in response to this.

The Central Bank stressed that the TWD's exchange rate against the US dollar has remained relatively stable compared to other major currencies over the long term, and it will continue to work to maintain the dynamic stability of the TWD while closely monitoring trends in international financial markets. According to data, the TWD opened today at 32.10, reached a high of 30.77, a low of 32.105, and closed at 31.064, marking a new high since January 2024. For this week, it has appreciated a total of 1.462 TWD, with an increase of 4.71%, marking five consecutive weeks of appreciation.