Highlights

Today, the Taiwan Stock Exchange closed at 24,016.78 points, a decline of 54.95 points, barely maintaining the crucial 24,000-point level. Notably, foreign investors reversed their position to become net buyers, acquiring financial stocks such as Taishin Financial and Shin Kong Financial. Foreign investment surged by NT$7.6 billion, emphasizing substantial market influence by purchasing nearly 80,000 shares of financial stocks.

Sentiment Analysis

• The overall sentiment is mixed, with a positive emphasis on foreign buying but concerns about market stability.

Article Text

The Taiwan Stock Exchange witnessed a turbulent trading session, closing at 24,016.78 points, with a slight fall of 54.95 points. While the market struggled to maintain its crucial 24,000-point threshold, the monthly resistance line was breached, with a total turnover reaching NT$409.64 billion. Aggregate purchases by the major institutional categories recorded a net oversale of NT$12.74 billion. Foreign investors notably emerged as key buyers, reversing a prior net selling stance.

The core activity involved foreign investors strategically purchasing prominent financial stocks. Key acquisitions included Taishin Financial and Shin Kong Financial, with foreign buyers snapping up 49,000 and 12,000 shares respectively, alongside 9,641 shares of SinoPac Holdings and 6,876 shares of Fubon Financial. The move by foreign capital to invest NT$7.6 billion showcases a significant shift in market dynamics.

Conversely, foreign entities reduced their holdings in major panel manufacturers, notably disposing of 28,000 and 13,000 shares of Innolux and AU Optronics respectively. Other sales included 27,000 shares of Yuanta Taiwan 50 ETF and 20,000 shares of Winbond Electronics. Furthermore, significant divestments included 11,000 shares of Pou Chen Group and 10,000 shares of Chin Poon Industrial.

TSEC's net buy position mainly included financial stocks, such as 5,763 shares of CTBC Financial and various other financial instruments. Purchases extended to notable equity stakes in Uni-President Enterprises Corporation and other technology sector investments.

Foreign capital's intervention underscores its pivotal role in Taiwan's stock market stabilization efforts, countering the sell-off fueled by domestic institutions, which continue to exhibit cautious sentiment amidst market volatility.

Key Insights Table