HUA HONG SEMI (01347) gained more than 5% during morning trading. At the time of writing, the stock was up 5.3% to HK$95.3, with a turnover of HK$1.08 billion. On the news front, it was reported that wafer foundry UMC recently issued a price increase notice to customers, indicating that wafer prices will be adjusted in the second half of 2026. Previously, major foundry Nexchip had already sent a "Wafer Foundry Service Product Price Adjustment Notice" to customers on March 12, announcing a 10% wafer price increase effective from June. Additionally, TSMC executives announced during an earnings call that the company expects its 2026 capital expenditure to be near the top end of the range of $52 billion to $56 billion. When asked about the source of confidence supporting this level of capital expenditure, TSMC Chairman and CEO C.C. Wei replied, "The answer is simple: demand is extremely strong, particularly for high-performance computing and AI applications. We are accelerating and placing equipment orders ahead of schedule, but supply remains tight, and demand continues to grow. That is why capital expenditure is pointing to the upper end of the range."