The Taiwan stock market index hits new highs every day. Today, TSMC led the way and once soared to a record price of 1,500 yuan, driving the weighted index to break through the 27,900 point level, setting another record high, reaching a maximum of 2...
The Taiwan stock market index hits new highs every day. Today, TSMC led the way and once soared to a record price of 1,500 yuan, driving the weighted index to break through the 27,900 point level, setting another record high, reaching a maximum of 27,969 points. The final rally converged, TSMC closed at a flat price of 1,480 yuan, and the market closed at 27,752.41 point, the legal person stated that the major indexes present a standard long pattern, and there are no preset high points in the trend market.
The U.S. stock market is driven by a bullish technical outlook. Currently, the cash level of global fund managers has dropped to 3.8%, which is at the low level since 2013, which shows the active deployment mentality of international funds and institutional investors. Zhang Zhengzhong, manager of First Gold Electronics Fund, pointed out that the market is worried about bubbles, but is also afraid of missing the high point. Taiwan stocks are led by the AI trend, semiconductor weight stocks hit highs, and stock prices continue to attack highs. There is no preset high point in the trend market.
Zhang Zhengzhong explained that Taiwan stocks maintained a strong bull pattern, and the electronics and financial indexes maintained a bullish arrangement, standing above all moving averages. Technology stocks, with semiconductors performing the strongest, while the financial index, although the increase was limited, also entered a record high price, and only the non-gold index maintained a low consolidation.
Zhang Zhengzhong reminds us to pay attention to the recent changes in chip positions, because since Taiwan stocks hit highs in September and October, corporate actions have been relatively conservative, and profits have been sold at high-end levels. However, retail investors have become more enthusiastic in participating and funds have flowed in rapidly. Therefore, since late July, the financing level has increased by 25.7%, which is higher than the 18.5% increase in the market.
Overall, Taiwan stocks can still be expected to continue to rise. Zhang Zhengzhong emphasized that Taiwan stocks benefited from the support of AI. Taiwan's exports grew by 33.8% in September, mainly driven by the 27% annual growth of AI-related semiconductors, the 86.88% annual growth of information communications, and the 25.6% growth of electronic components. The substantial growth in exports is conducive to the stock price outlook, especially the strong momentum for the continued growth of electronic stocks.
Next, we should pay attention to the five key points to watch for the performance of the Taiwan stock market. Zhang Zhengzhong pointed out that before the end of October, we should observe the financial reports of large American companies such as Microsoft, Facebook, Google, Amazon and Apple. Legal arguments from heavyweight Taiwanese companies have successively appeared. The profits of technology companies are expected to continue to grow, and they are also expected to benefit from the reversal of foreign exchange losses in the second quarter.
Zhang Zhengzhong pointed out that in terms of politics and policy, attention will be paid to whether the Trump-Xi meeting in South Korea at the end of October will help ease the U.S.-China trade conflict. The Federal Reserve meeting will cut interest rates again, leading the stock market to enter the main stage of interest rate cuts and increases. There will also be China’s Fourth Plenary Session, and a new round of economic policies will benefit industries, which will bring expectations for the market outlook.
Taiwan stocks continue to rise due to the rise of electronic weight stocks. Zhang Zhengzhong reminded that the high-end fluctuations of the stock market have increased. However, led by the four major U.S. stock indexes that continue to hit new highs, Taiwan stocks are expected to continue to break through and attack highs. The preset high point of the trend market may miss the long-band market. At this stage, Taiwan stocks present one market with two trends. AI and non-AI fundamentals and stock price performances are very different. Electronic stocks are still the main investment target of Taiwan stocks.
