Unimicron's stock clawed back much of a steep drop as bargain hunters piled in, easing fears sparked by a probe into where its products are really made.

• The stock hit its daily loss limit yesterday, opened down sharply again, then quickly cut its losses on heavy buying.
• The trouble is a "fake origin" investigation over how products are labeled.
• Foreign brokers say the worry is overdone because the issue involves ordinary circuit boards, not the high-end ABF chip carriers that drive profits.
• All of Unimicron's advanced carrier production sits in Taiwan, while its regular board work is split between Taiwan and China — which is where the labeling questions come from.
• The company still holds more than 20% of the tight high-end carrier market, and buy ratings are unchanged.

Outlook: More price swings are likely while the investigation runs, but demand for advanced chip carriers still looks strong.