Taiwan share prices decrease amid weak Asian markets
January 7, 2014, 12:14 am TWN
TAIPEI--The benchmark index of the Taiwan Stock Exchange dropped 46.53 points Monday to close at 8,500.01 points, dragged down by the weight of weak performance in other Asian markets.
Turnover in the market increased slightly to NT$94.15 billion (US$3.13 billion) from the NT$93.48 billion registered last Friday, the previous transaction day, on the first day of new regulations that permit certain same-day buying and selling.
Trading opened on a high note Monday for 200 stocks on the Taiwan 50 Index, Taiwan Mid-Cap 100 Index, and GreTai 50 Index.
Thanks to the boost, prices of several mid- and low-cap stocks, such as tech firms Pilot Electronics, Nanya Technologies, Quanta Storage and Niki-Sem closed at their daily limits of NT$53.7, NT$4.81, NT$35.8 and NT$22.1, respectively.
Falls in Japanese and other Asian stock markets, however, left Taiwan's weighted index below its 10-day moving average of 8,528 points.
The local bourse opened at 8,553 and rose to 8,568.24 at one point before dropping to the day's low of 8,488.64.
Among the eight major stock categories, only textiles gained ground, closing up 0.2 percent.
Construction stocks lost the most ground of the remaining seven categories, dropping 2.76 percent on rumors that the Ministry of Finance is working on heavy taxes for transactions of luxury housing.
Losing stocks outnumbered those posting gains by 3,619 to 1,644, with 361 remaining unchanged.
IBTS Investment Consulting Co., an advisory firm, said that the bourse is expected to rise above its 10-day moving average of 8,528 points later this month, but cautioned that Taiwan's stock performance will be affected if capital continues to flow back to the United States from emerging markets.