Taiwan stocks suffered an epic plunge yesterday! However, the financing recovery order did not get out of control, and most of them "exited on their own"

Taiwan stocks plummeted in early trading yesterday, but most investors chose to exit the market on their own. (Photo by reporter Tian Yuhua)

[Reporter Chen Yongji/Report from Taipei] Taiwan stocks hit an epic drop in early trading yesterday (6th), falling 3,737 points. Financing call orders were issued, causing the total listed OTC financing to drop by 56.4 billion yuan yesterday, the largest amount in a single day. The market is worried about financing calls. It's not over yet, but according to the latest statistics from the "Taiwan Stock Dashboard", although the number of financing collection accounts hit a high again yesterday and the entire household guarantee maintenance rate continued to fall by nearly 2 percentage points to about 158%, these are not panic data that worries the market.

Data from the "Taiwan Stock Dashboard" shows that the number of households subject to financing calls yesterday was 3,382, an increase of more than 1,000 from the 2,352 households the day before. The amount of recovery was 3.806 billion yuan, which was also an increase of more than 1.1 billion yuan from the 2.686 billion yuan the day before. However, the securities were However, only 171 households were directly terminated by merchants, and the amount of termination amount was only 517 million yuan, which was lower than the 222 households and 642 million yuan the day before. The amount of termination was only one percent of the reduction in listed OTC financing yesterday, indicating that most financing households exited on their own.

In terms of defaulted delivery, there were 48 defaulted deliveries on the market yesterday and 13 on the OTC market. There was no significant increase. The total amount of defaulted purchases and sales on the listed OTC was about 220 million yuan. After the default amount was offset by purchases and sales, the amount was 11.1 million yuan, which is not high.

However, it should still be noted that the cumulative net short orders of foreign investors in Taiwan index futures have reached a record high of nearly 100,000 contracts. Yesterday, the number of foreign investors' short positions continued to increase, and the cumulative number of short orders has exceeded 18 million.