Spotlight Stock: Not Just 2x ETFs Soaring Double Digits, Prototype ETF 00988A Leads with 15% Surge

Taiwan's stock market launched a retaliatory rebound today (31), with the weighted index surging up to 3,000 points at its peak. Over 60 individual stocks hit their upper limits, but even more aggressive than the daily limit-ups were the 2x leveraged and overseas equity ETFs without price fluctuation restrictions. Among them, Uni-President Global Innovation (00988A-TW) surged over 15%, making it the strongest performer among all prototype ETFs.

Positive earnings reports from Microsoft and Amazon fueled a major turnaround in AI and semiconductor stocks. Last night, all four major U.S. indices closed higher, with the Nasdaq jumping 2.78% and the Philadelphia Semiconductor Index soaring 8.19%. TSMC's ADR rose 7.64%, while memory stocks like Micron and SK Hynix also rebounded strongly. This drove Taiwan stock futures in overnight trading to surge 1,573 points, prompting today's cash market to follow suit with a significant rally.

Looking at the ETF market, not only did 2x leveraged ETFs surge into double digits, but prototype ETFs also showed strong momentum. Uni-President Global Innovation (00988A-TW) reached a high of NT$16.22 during trading, up over 15%, topping all prototype ETFs with robust recovery strength. Others, including Cathay Taiwan-Korea Tech (00735-TW), CTBC Japan Semiconductor (00954-TW), and Taishin Japan Semiconductor (00951-TW), also surged over 10%.

The Uni-President Investment Research Team noted that with the current U.S. earnings season in full swing, the market is closely scrutinizing the 'capital conversion efficiency' of AI-related capital expenditures. As such, their investment strategy prioritizes key supply chain players that enhance return on capital and unit conversion efficiency for cloud service providers (CSPs), such as power management and advanced packaging. They also plan to opportunistically increase exposure to stocks with reasonably corrected valuations and upside potential in profitability.

*Disclaimer: The stocks, funds, and futures products mentioned in this article are for reference only and do not constitute investment advice. Investors should make independent judgments, carefully assess risks, and bear their own profits and losses.