A popular arbitrage involving Taiwan Semiconductor is suddenly paying off - MarketWatch
1. Taiwan dollar surge reduces ADR premium to 12% from 34%. 2. Hedge funds have engaged in $500 million trades benefiting from local stocks. 3. The surge reflects rising domestic stock value compared to U.S. ADRs. 4. TSMC sees heavy daily trading volumes indicating investor interest. 5. Central bank wary of intervening during delicate trade negotiations.