TAIEX rebounds on Wall Street gains
CNATAIPEI--Shares in Taiwan staged a technical rebound Thursday as investors took cues from the gains posted on Wall Street overnight, but turnover remained thin amid concerns over political tensions in the Middle East, dealers said.
August 30, 2013, 12:00 am TWN
Buying focused on large cap stocks, with Taiwan Semiconductor Manufacturing Co. (TSMC), the most heavily weighted stock on the local market, leading the gains, dealers said. Formosa Plastics Corp. and Nan Ya Plastics Corp. also benefited from the bargain hunting, dealers said.
Small cap stocks, in particular solar energy suppliers, posted significant gains as international crude oil prices soared amid reports of possible U.S. military action against Syria, dealers added.
The weighted index closed up 93.12 points, or 1.19 percent, at 7,917.66, after moving between 7,841.99 and 7,931.05. Turnover totaled NT$71.58 billion (US$2.39 billion) during the session.
The market opened up 0.22 percent in the wake of a higher Wall Street overnight and gained momentum as market heavyweights such as TSMC regained their footing, dealers said.
The upside, however, was limited at the end of the session after the index breached 7,900 points as some investors locked in their earlier gains amid concerns that negative external factors would drag down the local market, dealers said.