Taiwan's silicon wafer makers were hammered as investors dumped the group, a sharp blow for anyone holding chip material stocks even though the companies' own sales are holding up.

• GlobalWafers fell to its daily limit within 20 minutes of the open, with Sino-American Silicon, Taisil, and smaller peers all dropping.
• The selling came as consumer electronics demand recovered slower than hoped and worries about excess chip inventory returned.
• Foreign funds sold heavily in both stocks and futures, triggering stop-loss selling that drained money out of expensive wafer shares fastest.
• The drop looks odd next to the numbers: Sino-American Silicon's nine-month sales topped NT$60 billion for the first time, and GlobalWafers held high factory usage.
• TSMC is reportedly scouting a second US site, with Dallas the front-runner for six more advanced plants and spending that could beat the Arizona project.

Outlook: Taiwan's index is struggling to hold near the 50,000 mark, and wafer stocks that broke key support lines may keep sliding until selling pressure clears.