Taiwan Stock Exchange hits a new high of 28,100 points! Memory chips lead the rally, capital rotation fuels bullish momentum

International Red Days Drive Market Rally, Taiwan’s Large-Cap Stocks Lead the Charge

The four major U.S. stock indices all rose across the board, injecting strong momentum into the Taiwan stock market. Today, the Taiwan stock market opened with an active stance, with the index rising by over 300 points at one point in the morning, and the upward trend continued to expand, breaking through the 28,100-point mark during the session, with rapid gains. Led by heavyweight stocks such as TSMC and Hon Hai, along with capital inflows into mainstream themes like semiconductors, memory, and silicon photonics, over 24 stocks hit the daily limit-up, creating a bullish market atmosphere.

In terms of large-cap stocks, TSMC (2330) opened higher and continued to climb, reaching a high of 1,470 NT dollars during the session, with an increase of nearly 2.8%, contributing significantly to the market. Hon Hai (2317) also steadily rose, with a gain of about 1.8%. In contrast, MediaTek (2454) showed a pattern of opening red and turning black, with a decline approaching 1%, reflecting a rotation of funds among electronic stocks.

Memory Sector Explodes Across the Board, Becomes a Market Focus

Recently, memory-related stocks upgraded by foreign institutions have all lit up, becoming the most eye-catching sector today. Powerchip (6770) surged early in the session, hitting the daily limit at 40.45 NT dollars, with a trading volume of over 460,000 shares, maintaining the top spot in market popularity. Meanwhile, Nanya Technology (2408) and its subsidiary, Fuman Technology (8131), announced a 700 million NT dollar investment to expand advanced packaging capacity for AI and high-performance computing (HPC) applications, with their stock prices also hitting the limit at 56.3 NT dollars, showing strong buying momentum.

This wave of strength in the memory sector reflects market optimism about its fundamentals and long-term growth prospects, with capital rushing in to position.

Silicon Photonics and Third-Generation Semiconductors Rally

Besides memory, silicon photonics and third-generation semiconductor stocks are also favored by capital. GaN wafer foundry leader Win Semiconductors (3105) re-entered the market after consolidation last week, reaching 191 NT dollars and hitting the daily limit before noon. Market interpretation suggests that this is influenced by NXP’s exit from GaN power amplifier manufacturing, with Taiwanese supply chains expected to take over the orders, prompting investors to pre-position.

The silicon photonics sector is flourishing, with Huaxing Optoelectronics (4979) rising over 9% during the session, Wite (6706) up more than 8%, and companies like BoroWave (3163), Fan Quen (6830), and Walsin Technology (2344) also gaining over 5%. Overall, the performance is impressive, indicating strong market confidence in optical communication and high-speed transmission themes.

Capital Rotation and Sector Leadership in Stock Performance

From the market structure perspective, capital is not concentrated in a single sector but is rotating broadly. Besides semiconductors and optoelectronics, stocks in communication networks, electronic components, construction, and chemicals also hit the daily limit-up, including New Fuxing (4909), China Electric Power Network (6163), Yao Deng (3138), Yijia (2402), and Gongxin (5521), showing clear signs of increased risk appetite.

Year-End Portfolio Building Begins, Focus on Growth Themes

Overall, driven by international stock markets and domestic capital accumulation, the Taiwan stock market successfully broke through consolidation ranges. As AI applications deepen, the demand for computing from cloud to edge devices will continue to expand, supporting long-term growth in industries such as advanced semiconductor manufacturing, memory, high-speed transmission, and advanced packaging.

Investors should focus on stocks recently upgraded by foreign institutions, with leading technology or clear operational outlooks for next year. However, they should be cautious of rapid market rotations, avoid chasing highs, and prioritize stocks with strong industry prospects and solid fundamentals as core holdings. Close monitoring of international stock market trends and trading volume changes is recommended as operational references.