The market breaks through the 28,000-point level, with net capital inflow driving a comprehensive rise in the Taiwan stock market.

Amid the widespread optimism in U.S. stock indices, the Taiwan stock market showed strong momentum today. During the session, the index steadily advanced, with a peak moment surpassing 28,100 points—an increase of over 470 points from the open, indicating active buying interest. More than 24 stocks hit the daily limit-up, and trading volume remained lively, reflecting a clear bullish market structure.

Leading Blue Chips Stabilize the Market, TSMC and Hon Hai Play Supporting Roles

As market sentiment indicators, TSMC (2330) opened high and continued upward today, reaching a high of 1,470 NT dollars, nearly a 2.8% gain, significantly contributing to the overall market. Hon Hai (2317) also steadily rose, with an intraday increase of about 1.8%. The two giants jointly support the market’s fundamental stability.

Notably, MediaTek (2454) experienced a gap-up at the open but then declined, turning red during the session with a drop exceeding 1%. This phenomenon reflects active rotation and profit-taking among electronic stocks, rather than purely a loosening of capital.

Memory Sector Explodes Across the Board, Becomes the Strongest Gain Driver

Recently, memory-related stocks upgraded by foreign institutions today became the market’s brightest focus. Powerchip (6770) surged at the open to hit the 40.45 NT dollar limit-up, with trading volume exceeding 460,000 shares, making it the most popular target today.

Nanya Technology (2408) and its subsidiary, memory testing and packaging company Fuman Technology (8131), also performed well. The company recently announced a 700 million NT dollar investment to build advanced packaging capacity, targeting AI and high-performance computing (HPC) applications, which pushed its stock to a 56.3 NT dollar limit-up. During the session, buy orders exceeding 12,000 shares remained, showing strong buying interest.

Silicon Photonics and Third-Generation Semiconductors Perform Simultaneously, Opportunities for Order Transfers Emerge

In addition to memory stocks, silicon photonics and third-generation semiconductor groups also attracted capital. GaAs wafer foundry Win Semiconductors (3105) rebounded strongly after last week’s consolidation, reaching 191 NT dollars and hitting the limit-up before noon. Market analysts believe this move is related to NXP’s exit from GaN (Gallium Nitride) power amplifier business, creating potential order transfer opportunities for Taiwanese supply chains.

The silicon photonics sector is also thriving. Lextar Electronics (4979) rose over 9% intraday, Wits (6706) gained more than 8%, and stocks like BoroWave (3163), Pan-Quan (6830), and Macronix (2344) also increased over 5%, demonstrating overall strong momentum in the group.

Diversified Rotation Pattern Emerges, Capital Allocates Across Multiple Sectors

Looking at today’s market structure, capital was not overly concentrated in a single industry but showed healthy diversification:

• Communication Networks: Xinfu Xing (4909), China Telecom (6163), Yao Deng (3138) all hit the limit-up
• Electronics Components: Yijia (2402), Wende (6761), Walsin (2313) performed outstandingly
• Other Sectors: Construction, chemicals, computer peripherals, automotive, among others, also saw stocks hitting the limit-up, including Gongxin (5521), Rishenghua (1735), Dazhong Holdings (3701), Jimao (1587)

This phenomenon indicates investors’ risk appetite continues to rise, actively seeking stocks with potential themes or rebound opportunities across various fields.

Industry Logic Behind the Big Rally: Long-term Growth Stories Support the Rebound

Today’s breakout in Taiwan stocks is not just short-term speculation but built on fundamental industry trends and medium- to long-term growth prospects. As AI applications continue to expand—from cloud data centers to edge computing devices—the demand for computing power will drive growth in advanced semiconductor processes, high-speed transmission interfaces, memory manufacturing, and advanced packaging supply chains.

With year-end accounting rally fueling the market, Taiwan stocks successfully broke through recent consolidation zones, led by industries with solid fundamentals and future growth momentum. Investors should focus on stocks recently upgraded by foreign institutions, those with technological advantages, or with clear operational outlooks for next year, to find opportunities for deployment during the year-end rally.

However, given the rapid rotation in the market, it is advisable to avoid blindly chasing highs. Focus on core stocks with long-term industry trend protection, and closely monitor international stock market movements and trading volume changes as references for trading decisions.