Tai­wan shares re­bound to end trad­ing day at 9,218.37

The China Post - - TAIWAN BUSINESS -

Shares in Tai­wan staged a re­bound Thurs­day to close above the 9,200- point mark as in­vestors took hints from gains posted on Wall Street overnight af­ter the U. S. Fed­eral Re­serve ap­peared dovish over a move to raise in­ter­est rates, deal­ers said.

The bell­wether elec­tron­ics sec­tor con­tin­ued an up­trend, with buy­ing ro­tat­ing to per­sonal com­puter com­pany stocks, while other large- cap stocks, such as Tai­wan Semi­con­duc­tor Man­u­fac­tur­ing Co. ( TSMC,

) , re­mained slow through­out the trad­ing ses­sion, the deal­ers said.

The ship­ping sec­tor at­tracted bar­gain hun­ters with the ap­proach of the peak third quar­ter, while so­lar energy stocks moved higher af­ter a re­search re­port said that prices of high ef­fi­ciency multi- sil­i­con so­lar cells have been re­cov­er­ing, they added.

How­ever, trad­ing vol­ume re­mained thin as many in­vestors were re­luc­tant to chase prices amid lin­ger­ing con­cerns over the debt prob­lems in Greece, the deal­ers said.

The weighted i ndex on the Tai­wan Stock Ex­change closed up 28.54 points, or 0.31 per­cent, at 9,218.37, af­ter mov­ing be­tween 9,187.87 and 9,243.84, on turnover of NT$ 81.54 bil­lion ( US$ 2.63 bil­lion).

The mar­ket opened up 5.82 points and rose to the day’s high in the wake of a higher Wall Street overnight af­ter the U. S. Fed con­cluded a two- day pol­i­cy­mak­ing meet­ing in which it was de­cided to keep its in­ter­est rates low, the deal­ers said. But some in­vestors pock­eted their ear­lier gains amid con­cerns over the debt sit­u­a­tion in the eu­ro­zone to cap the up­turn at the close, they said.

“Af­ter the Fed meet­ing, many in­vestors around the world tended to think the U. S. cen­tral bank will raise its in­ter­est rates in a grad­ual man­ner,” Concord Se­cu­ri­ties an­a­lyst Kerry Huang said. “It was no sur­prise that Wall Street and the Taipei mar­ket staged a re­bound.”

Elec­tron­ics Sec­tor

In a news con­fer­ence af­ter the meet­ing, Fed Chair Janet Yellen said she wanted the mar­ket to fo­cus on the pace and tra­jec­tory of rate hikes, say­ing that the tim­ing of the ini­tial hike is less im­por­tant. The re­marks have prompted in­vestors to think that the Fed will raise in­ter­est rates grad­u­ally.

The bell­wether elec­tron­ics closed up 0.43 per­cent, while TSMC, the most heav­ily weighted stock in the lo­cal mar­ket, fell 0.35 per­cent to end at NT$ 142.00 and in­te­grated cir­cuit de­signer Me­di­aTek Inc. (

) lost 0.47 per­cent to close at NT$ 422.50.

Among the re­bound­ing PC stocks, Asustek Com­puter Inc. ( ) rose 1.76 per­cent to end at NT$ 289.50 and In­ven­tec Corp. ( ) added 3.16 per­cent to close at NT$ 21.20. Other Sec­tors

In the ship­ping sec­tor, Ever­green Marine Corp. (

) rose 7.77 per­cent to end at NT$ 15.95 and ri­val Yang Ming Marine Trans­port Corp. (

) gained 4.31 per­cent to close at NT$ 10.90. In­vestors have high hopes that ris­ing de­mand in the third quar­ter will push up ship­ping fares.

Af­ter Neo So­lar Power Corp. ( ) gave an up­beat forecast about the July- Septem­ber pe­riod a day ear­lier, so­lar energy stocks gen­er­ally moved higher Thurs­day. Neo So­lar rose 3.85 per­cent to end at NT$ 24.25, and Motech In­dus­tries Inc. (

) added 5.35 per­cent to close at NT$ 36.40.

“De­spite to­day’s re­bound, mar­ket sen­ti­ment re­mained cau­tious as many in­vestors are watch­ing closely a fi­nance min­is­ter meet­ing in the eu­ro­zone sched­uled for later in the day,” Huang said. “Be­fore a mean­ing­ful so­lu­tion to the Greece debt is ham­mered out, a break­through in the eq­uity mar­ket is un­likely.”

Newspapers in English

Newspapers from Taiwan

© PressReader. All rights reserved.