Investors gain an average of NT$133,900 in third quarter
The China Post news staff and CNA Saturday, September 29, 2012, 12:01 am TWN
Taiwan stock investors each made an average gain of NT$133,900 in the third quarter, in which market capitalization rose on a quarter-on-quarter basis.
During the July-September period, market capitalization grew to NT$22.92 trillion, rising from NT$21.71 trillion for the second quarter, according to data released by the Taiwan Stock Exchange yesterday, the last trading day of the third quarter.
The figure translated into a gain of NT$133,900 for each investor in the third quarter, an improvement from a loss of NT$190,000 during the second.
Yesterday, the local bourse closed above the 7,700-point mark as buying in select large cap stocks, such as Taiwan Semiconductor Manufacturing Co. (TSMC) and Hon Hai Precision Industry Co., continued to push the index higher.
Certain China concept stocks, in particular retailers with close business ties with the mainland, also attracted buying on hopes that Beijing will come up with stimulus measures to boost domestic demand, dealers said.
However, market sentiment remained cautious toward the world's economic climate, causing many investors to stay on the sidelines and keeping the daily trading volume moderate, they added.
The weighted index closed up 31.36 points, or 0.40 percent, at 7,715.16, after moving between 7,665.35 and 7,721.29, on turnover of NT$86.04 billion.
Labor Pension Funds Gain
The stocks' recent positive performance has led to an increase in Taiwan's labor insurance funds, a part of which is invested in stocks.
The funds in August posted a gain of NT$13.75 billion, reported the agencies that run the funds. For the first eight months, the funds pocketed a total gain of NT$45.05 billion, or an investment yield of 3.35 percent.
As for the future, Horizon Securities analyst Benson Huang offered his opinion.
"With turnover moderate, it is possible the index will continue to move in a narrow range in the near future," he said. "The market may pull back to test 7,700 points again."
At the end of the session, the plastics and chemical sector scored the highest gains among the eight major sectors of the market, finishing up 0.7 percent. Machinery and electronics rose 0.6 percent, and foodstuffs closed up 0.4 percent.
Against the uptrend of the broader market, construction stocks fell 0.8 percent, textiles lost 0.7 percent, paper and pulp shares shed 0.5 percent, financials dropped 0.2 percent, and the cement sector closed down 0.1 percent.
Among the winning China concept stocks, department store operator Grand Ocean Retail Group rose 1.61 percent to close at NT$94.50, and convenience store operator Taiwan FamilyMart added 1.74 percent to end at NT$146.50.
MOST POPULAR OF THIS SECTION