Amid heightened concerns regarding the US-China trade war, US President Trump recently sent positive signals, indicating that he might not raise tariffs on Chinese goods further, and even suggest potential reductions. This shift in rhetoric has somewhat calmed market sentiments, providing a hopeful outlook for Taiwan stocks as they open today (21st).

On Friday (18th), US markets were closed for Good Friday, while Taiwan Futures rose by 34 points in the night session and TSMC futures increased by 2 TWD, reflecting growing expectations surrounding the US-China trade tensions. Although foreign investors sold off 15.2 billion TWD on Friday, the overall investment climate has not collapsed, with only a minor decrease in total financing.

Notably, while major institutional investors were net sellers, domestic mutual funds turned to net buying of 1.97 billion TWD, signaling a shift of local capital entering the market. Additionally, government-owned securities firms also shifted to net purchases, providing further stability signals. Although the overall fund structure appears neutral to bearish, the combination of Trump's statements and the forthcoming clarity on international semiconductor tariffs is expected to improve market sentiment.

The Financial Supervisory Commission announced on the 19th that three 'short selling restrictions' will continue to be implemented to maintain market stability and investor rights. In the near future, investors should be cautious of international political and economic developments and stock market fluctuations. It is advisable to adopt a low-holding strategy and to monitor the potential return of funds to smaller firms with policy themes as a reference for short-term entry.