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Taiwan Bourse Expected To Open Under Pressure

The Taiwan stock market ticked higher again on Friday, one session after it had ended the three-day winning streak in which it had jumped more than 150 points or 1.3 percent. The Taiwan Stock Exchange now rests just above the 10,965-point plateau although it's tipped to see renewed selling pressure on Monday.

The global forecast for the Asian markets is negative thanks to geopolitical concerns after U.S. strikes in Syria. The European markets were up, and the U.S. bourses were down - and the Asian markets figure to follow the latter lead.

The TSE finished barely higher on Friday following mixed performances from the financials and technology stocks.

For the day, the index gained 10.10 points or 0.09 percent to finish at 10,965.39 after trading between 10,938.37 and 10,988.23 on turnover of 121.99 billion Taiwan dollars.

Among the actives, Cathay Financial dropped 0.94 percent, while Fubon Financial collected 0.39 percent, Mega Financial eased 0.19 percent, China Steel slid 0.64 percent, Taiwan Steel Union tumbled 1.57 percent, Taiwan Semiconductor Manufacturing Company shed 0.20 percent, Largan Precision soared 4.85 percent, Hon Hai Precision added 0.23 percent, United Microelectronics Corporation lost 0.32 percent and Innolux was unchanged.

The lead from Wall Street suggests mild consolidation as stocks failed to hold an initial upward move on Friday and finished in the red - offsetting gains from the previous session.

The Dow slid 122.91 points or 0.50 percent to 24,360.14, the NASDAQ dropped 33.60 points or 0.47 percent to 7,106.65 and the S&P fell 7.69 points or 0.29 percent to 2,656.30. For the week, the NASDAQ surged 2.8 percent, the S&P gained 2 percent and the Dow added 1.8 percent.

The initial strength was a positive reaction to earnings news from financial giants JPMorgan Chase (JPM), Citigroup (C), and Wells Fargo (WFC) - which all beat estimates.

Buying interest waned shortly after the open, however, ahead of this week's earnings news that includes Bank of America (BAC), Goldman Sachs (GS), Johnson & Johnson (JNJ), IBM (IBM), American Express (AXP), and General Electric (GE).

Crude oil futures surged amid expectations OPEC has re-balanced the oil markets with its supply quota plan. The cartel is determined to put a floor under oil prices around $70 a barrel, analysts say. WTI sweet crude was up 32 cents or 0.5 percent to $67.39/bbl for a weekly gain of 8.8 percent.

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