Taiwan Stock Market Soars 820 Points, Led by MediaTek's Limit-Up Surge, Closing Near 47,000 High

Taiwan's stock market opened strong on September 1, the first trading day of the month, and maintained bullish momentum throughout the session. Electronics blue-chip stocks and high-priced 'thousand-dollar' stocks performed strongly, while sectors including optical communications, IC design, and foundry benefited from positive catalysts. The index surged over 700 points during the session, and a late surge—driven by large buy orders in TSMC (2330-TW) and UMC (2303-TW)—pushed the index even higher, closing at 46,948.72 points, up 820.25 points (1.78%). Trading volume slightly declined to TWD 1.08 trillion.

The OTC GreTai index also opened and closed higher, ending up 2.26%, outperforming the main exchange.

Electronics blue-chips led the rally. TSMC (2330-TW), the market's largest cap, opened lower but recovered on a 5,004-lot buy order, closing up 1.46%. MediaTek (2454-TW), the IC design leader, surged to its daily limit of NT$4,315 immediately after the open following news that NVIDIA invested $3.5 billion in its overseas convertible bonds, and remained locked at the upper limit until the close. UMC (2303-TW) rose 2.71%, Wistron NeWeb (6669-TW) hit the limit-up, and ASE Holding (3711-TW) gained 4.45%.

High-priced stocks also performed strongly. Megachips (6515-TW), the current 'stock king', rose 6.57%, while Winnow (6515-TW), King Yuan Electronics (6510-TW), and E-fuse (3529-TW) all hit the daily limit. Accton Technology (6510-TW) surged 8%.

In the IC design sector, besides MediaTek, Jingtai (6510-TW), Asia Pacific Telecom (6510-TW), Jiuyang (6510-TW), and Maxscend (6510-TW) also closed limit-up.

Anticipation for Apple's upcoming new smartphone launch on September 9 boosted RF power amplifier leaders. United Silicon (2455-TW) and Win Semiconductors (3105-TW) both hit the daily limit.

The optical communications sector shone brightly: Forward Electronic (3450-TW) closed limit-up, while IET-KY (4971-TW), Opto (3234-TW), and Suncom (3363-TW) rose over half the daily limit.

PCB stock Hon Hai Precision (3037-TW) continued to fall over 2% after hitting the lower limit yesterday due to supply chain relocation concerns. However, rerouting expectations lifted other PCB stocks: Kinsus (3189-TW) rebounded over 6%, and Unimicron (4958-TW) surged 7%.

Institutional investors noted that despite global markets weakening the previous night, Taiwan's market remained resilient, driven by strong themes including Apple's new product launch, AI, and TSMC's supply chain. Momentum in ASIC design, AI servers, PCBs, CPO (co-packaged optics), thermal solutions, and AI power and high-speed transmission continued to lift stock prices. However, with the index climbing rapidly into overbought territory, investors are advised to remain cautious of overvaluation risks.