Taiwan Stocks Rebound to Retake 47000
Lifted by a rebound in U.S. stocks, with the Philadelphia Semiconductor Index rising 3.6% and Korean stocks surging 6.6%, Taiwan stocks rallied in tandem on the 28th, rising as much as 964 points intraday and closing up 939 points, or 2.04%, at 47035, with turnover of NT$723.2 billion. Chip sentiment warmed, with foreign investors swinging to net buying of NT$15.9 billion, investment trusts buying NT$11.8 billion, and dealers buying NT$2.4 billion. Heavyweights rose across the board, with TSMC up 1%, MediaTek surging 6.9%, Delta Electronics up 2.6%, Nan Ya Plastics jumping 7.2%, ASUS up 2.1%, Gold Circuit Electronics, Global Unichip and Chunghwa Precision Test Tech hitting limit-up, and top-priced stock ASPEED Technology rebounding 7.9%.
Semiconductor ETF Performance Diverges
According to CMoney statistics through October 28, among semiconductor ETFs, the Taishin Taiwan IC Design ETF (00947) holds Global Unichip as its top holding at 11.68%, while most others hold TSMC as their top holding. Over the past 1 year, 00947 leads with a 131.86% gain, while over 3 years the Taishin Taiwan Semiconductor 30 (00904) leads with a 282.84% total return including dividends. Manager Huang Yu-min noted that earlier semiconductor weakness was mainly due to surging U.S. Treasury yields, but with strong U.S. tech earnings, a continued strong 2027 outlook, Tesla CEO Elon Musk optimistic about robot mass production driving memory demand, and TSMC confirming strong chip demand at its investor conference, the short-term outlook still hinges on AI capex, memory demand and corporate earnings.
Cybersecurity ETF Hits New High Against Trend
Although the market has just stopped falling and rebounded, several ETFs have already led the way to new closing highs, including Cathay Internet Security (00875), Taishin S&P Brent Oil Positive 2 (00715L) and Yuanta S&P Petroleum (00642U). 00875 is in focus because the PHP website development language has seen two critical vulnerabilities, CVE-2026-109618 and CVE-2026-109619, both with risk scores of 9.2, rated critical. Manager Shen Ting-yang said cybersecurity risks have already impacted website operations and financial transactions, requiring real-time defense and continuous monitoring by enterprises; 00875 tracks the Nasdaq ISE Global Cyber Security Index with a non-dividend design, and as of October 21 its holdings included Cloudflare, Akamai Technologies, Fortinet, CrowdStrike, Tenable and Palo Alto Networks.
Institutions Favor Stock Picking Over Market Timing
Looking ahead, the KGI Preferred High Dividend 30 (00915) research team noted that the U.S. Federal Reserve FOMC meeting is imminent with rates likely to stay high, but with robust AI supply-chain demand, funding momentum and wealth effects, Taiwan stocks continue their momentum as the world's fourth-largest market. At a Chailease fund platform forum on October 22, Allianz Taiwan Smart Fund manager Chen Si-ming forecast Taiwan corporate earnings growth of 84% and 35% in 2026 and 2027 respectively, while Uni-President Investment Trust Yang Xue-xing emphasized economic growth of over 11% and upward earnings revisions supporting a long bull market. According to TDCC statistics through October 22, Taiwan ETFs totaled 95 funds with 19,580,110 beneficiaries, up 329,000 for the week and up 7,400,000 to 6620 this year, and Capital Active Core 50 manager Hsu Yu-chih advised focusing on three main themes for stock picking.