Shares up on strong electronics showing
January 21, 2014, 12:09 am TWN
TAIPEI--Shares in Taiwan edged higher Monday, closing above the 8,600-point level on a rally by electronics shares after ending below the threshold on Friday.
Many dealers expected the market to sustain the upward momentum prior to the Chinese New Year, which falls on Jan. 31 this year.
The weighted index of the Taiwan Stock Exchange ended up 25.56 points, or 0.29 percent, at 8,621.56, after moving between 8,595.59 and 8,636.21 on turnover of NT$96.19 billion (US$3.19 billion).
The market opened lower but moved into positive territory within the first half hour of trading and stayed there the rest of the session.
Boryi Chien, a futures adviser at Cathay Securities, said the steady turnover of around NT$100 billion over the past few days indicated that the market still had plenty of support.
He said the bellwether electronics sector would continue to be the main driver of the stock market in the coming days.
Taiwan Dollar Closes at 30.256 Against the Green Back
The U.S. dollar rose against the Taiwan dollar Monday, gaining NT$0.035 to close at the day's high of NT$30.256. Turnover totaled US$741 million during the trading session.
The greenback opened at NT$30.230, and moved to a low of NT$30.083 before rebounding.
Concurrently, a total of 2,915 stocks finished higher, 2,689 stocks lost ground, and 462 remained unchanged yesterday.
The electronics sub-index rose 0.55 percent during the session, still buoyed by the optimistic forecast for the sector given last week by Morris Chang, chairman of Taiwan Semiconductor Manufacturing Co. (TSMC,台積電).
Though shares in TSMC, the heaviest weighted stock on the local market, stayed flat Monday at NT$107.50, smartphone camera lens maker Largan Precision Industry Co. (大立光電) rose 1.65 percent to close at NT$1,230 after hitting a historical high of NT$1,250.
Hon Hai Precision Industry Co. (鴻海精密), the world's biggest contract electronics manufacturer, moved higher for the eighth time in nine sessions, gaining 1.67 percent to close at NT$85.20.
It was the company's highest close since Dec. 13, 2012.
Financial shares were also higher, with shares of Fubon Financial Holding Co. ending(富邦金控) 1.39 percent higher at NT$43.60.