Foreign Investors Buy Excessively for Five Consecutive Days, Totaling NT$206.1 Billion; Powerchip Most Favored with Over 316,300 Shares Added in Four Days

Taiwan's stock market opened higher today (14th) but closed lower by 210 points at 45,811, with trading volume slightly increasing to NT$1.06 trillion. Foreign investors recorded a net purchase of NT$45.3 billion today, marking five consecutive trading days of net buying this week, totaling NT$206.1 billion. Driven by expectations of memory market recovery and rising foundry pricing, foreign investors added 144,900 shares in Powerchip (6770-TW) alone today, bringing their four-day cumulative net purchase to 316,300 shares.

Among the three major institutional investors, foreign investors bought a net NT$45.351 billion, investment trusts bought NT$7.196 billion, while proprietary traders sold a net NT$1.661 billion, resulting in a combined net purchase of NT$50.886 billion. In futures positions, foreign investors reduced their short positions by 1,034 contracts, leaving a total of 85,100 short contracts.

Today’s top 10 foreign investor net buys were led by Powerchip with 144,900 shares, followed by UBS Taiwan Equity Growth (00981A-TW) with 95,200 shares, UBS Taiwan Upgrade 50 (00403A-TW) with 58,600 shares, Winbond with 55,800 shares, Compal with 47,800 shares, Yuanta Taiwan Top 50 (0050-TW) with 35,800 shares, Fubon Future 50 (00991A-TW) with 27,700 shares, Cathay KGI Taiwan (00407A) with 27,000 shares, and Pou Chen with 21,100 shares. Notably, foreign investors shifted from five consecutive days of buying to selling 3,024 shares in TSMC today.

On the sell side, foreign investors’ top 10 net sells were led by Yageo Corporation with 22,200 shares, followed by China Steel with 18,900 shares, E.SUN Financial Holding with 17,300 shares, Bank SinoPac with 16,400 shares, China Airlines with 16,300 shares, EVA Airways with 16,100 shares, Cathay Sustainable High Dividend (00878-TW) with 14,800 shares, Yuanta Taiwan 50 Inverse (00632R-TW) with 11,200 shares, Nanya Technology with 10,000 shares, and Mega Financial Holding with 9,277 shares.

Among investment trusts’ top 10 net buys, nine were financial stocks: Taishin & Shin Kong Financial each with 25,000 shares (highest), E.SUN Financial with 18,300 shares, Mega Financial with 15,500 shares, First Financial with 14,600 shares, Sinopac Financial with 14,400 shares, Hua Nan Financial with 11,600 shares, Yuanta Financial with 5,100 shares, Winbond with 3,770 shares, and Fubon Select High Dividend 30 (00900-TW) with 2,500 shares.

Investment trusts’ top 10 net sells focused mainly on large-cap electronics stocks: United Microelectronics Corporation (UMC) with 5,627 shares, Dah Chong Hong with 5,000 shares, ASE Group with 3,770 shares, Wistron with 2,862 shares, Hon Hai Precision with 2,552 shares, Alpha & Omega Semiconductor with 1,544 shares, Nan Ya Plastics with 1,491 shares, JPS Electronic, Quanta Storage, and CTCI Corporation.

Market analysts noted that today’s market showed an ‘open high, close low’ pattern, with the index testing resistance near previous historical highs. Technically, the pullback reflects profit-taking after gains, but given the persistently low volatility, the market is expected to continue consolidating at high levels. Short-term corrections can still be viewed positively. From a positioning perspective, foreign investors remain bullish in both spot and futures markets, indicating moderately optimistic overall sentiment.