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Tech Shares May Weigh On Taiwan Stock Market

The Taiwan stock market moved lower again on Thursday, one session after it had snapped the two-day losing streak in which it had declined more than 130 points or 1.3 percent. The Taiwan Stock Exchange now rests just above the 10,325-point plateau and it's likely to be stuck in neutral on Friday.

The global forecast for the Asian markets is cautiously optimistic as Thursday's selloff on recession fears may have been overdone. The European markets were down and the U.S. bourses were mostly higher - and the Asian markets are tipped to follow the latter lead.

The TSE finished sharply lower on Thursday following losses from the financial shares and technology stocks.

For the day, the index dropped 100.60 points or 0.96 percent to finish at 10,327.13 after trading between 10,287.76 and 10,374.75.

Among the actives, Cathay Financial retreated 1.01 percent, while Mega Financial declined 1.06 percent, CTBC Financial lost 0.74 percent, Fubon Financial fell 0.36 percent, First Financial eased 0.24 percent, E Sun Financial slid 0.40 percent, Taiwan Semiconductor Manufacturing Company shed 0.60 percent, United Microelectronics Corporation tumbled 1.53 percent, Hon Hai Precision skidded 1.38 percent, Largan Precision lost 0.78 percent, Catcher Technology sank 1.81 percent, MediaTek dropped 0.94 percent, Asia Cement advanced 1.09 percent, Taiwan Cement was down 0.78 percent and Formosa Plastic plunged 3.53 percent.

The lead from Wall Street provides little clarity as stocks showed a lack of direction on Thursday, bouncing back and forth across the unchanged line before eventually closing mixed.

The Dow added 99.97 points or 0.39 percent to 25,579.39, while the NASDAQ fell 7.32 points or 0.09 percent to 7,766.62 and the S&) 500 rose 7.00 points or 0.25 percent to 2,847.60.

The choppy trading on Wall Street came as traders digested an avalanche of economic data, including mixed reports on retail sales and industrial output.

The Commerce Department reported U.S. retail sales climbed by much more than expected in July, but the Federal Reserve unexpectedly noted a modest drop in industrial production in July.

Also, the New York and Philadelphia Federal Reserves saw continued growth in manufacturing activity in August, while the Labor Department reported a bigger than expected increase in first-time claims for U.S. unemployment benefits last week.

Crude oil prices saw further downside on Thursday, extending losses from the previous day on continued concerns about the outlook for global demand. China's threat to retaliate against U.S. tariffs weighed heavily on oil prices as West Texas Intermediate fell $0.48 or 0.87 percent to $54.47.

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