TAIPEI (Taiwan News) — Taiwan’s stock market ended with slight gains on Thursday, as sector rotation remained brisk and investors exercised caution while chasing buy orders.

The Taiwan Stock Exchange Capitalization Weighted Stock Index (TAIEX) closed up 26.81 points at 23,246.94. Turnover totaled NT$301.393 billion (US$9.2 billion), per CNA.

Robotics and optical component stocks, which have recently seen strong gains, took a breather as short-term momentum cooled. The battery backup unit and co-packaged optics sectors remained popular among investors, according to Broadcom.

A battery backup unit (BBU) is installed in servers to prevent data loss during power outages. Co-packaged optics (CPO) integrates optics and silicon on a single package to tackle next-generation bandwidth and power demands.

TSMC fluctuated narrowly between NT$1,085 (US$33) and NT$1,090, closing at NT$1,085. Foxconn closed up NT$1 (US$0.03) at NT$187.5 NT dollars, while MediaTek closed up NT$10 at 1,420 NT dollars.

Recently strong optical stocks saw funds shift towards top-tier companies, with Largan Precision rising 3.68% and Genius Electronic Optical surging 9.99%. The optical sector consists of companies that sell eyeglasses, contacts, sunglasses, and other visual products, according to Modor Intelligence.

Institutional investors observed that the market remains cautious regarding the policies of US President-elect Donald Trump once he takes office. In the near term, trading volumes are expected to remain low, with the market likely to consolidate.

Portfolio adjustments and new investment strategies are anticipated following the year-end market close and the return of foreign investors.