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Rally May Stall For Taiwan Stock Market

The Taiwan stock market has climbed higher in four straight sessions, gathering more than 260 points or 2.6 percent along the way. The Taiwan Stock Exchange now rests just above the 10,800-point plateau although investors may cash in on Tuesday.

The global forecast for the Asian markets is fairly rudderless, with trade uncertainties offset by rising crude oil prices. The European and U.S. markets were mixed but little changed and the Asian bourses are likely to follow that lead.

The TSE finished modestly higher on Monday as gains from the financial shares and cement companies were dented by weakness from the technology stocks.

For the day, the index added 44.24 points or 0.41 percent to finish at 10,801.14 after trading between 10,778.15 and 10,829.44.

Among the actives, Cathay Financial climbed 1.11 percent, while Mega Financial spiked 2.28 percent, CTBC Financial jumped 1.37 percent, Fubon Financial gained 0.70 percent, First Financial collected 0.70 percent, E Sun Financial soared 2.37 percent, Taiwan Semiconductor Manufacturing Company advanced 0.76 percent, United Microelectronics Corporation shed 0.37 percent, Hon Hai Precision fell 0.27 percent, Largan Precision dropped 0.99 percent, Catcher Technology lost 0.44 percent, MediaTek surged 4.08 percent, Asia Cement rose 1.02 percent, Taiwan Cement surged 2.56 percent and Formosa Plastic sank 0.83 percent.

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

The Dow added 38.05 points or 0.14 percent to 26,835.51, while the NASDAQ lost 15.64 points or 0.19 percent to 8,087.44 and the S&P 500 fell 0.28 points or 0.01 percent to 2,978.43.

The choppy trading on Wall Street came amid a light day on the U.S. economic front, with a lack of major data keeping some traders on the sidelines.

Traders expressed some optimism about further stimulus from global central banks, with the European Central Bank expected to cut interest rates on Thursday. Expectations for another interest rate cut by the U.S. Federal Reserve next week were also bolstered by last Friday's weaker than expected jobs data.

Crude oil prices rose sharply on Monday, riding comments from Saudi Arabia that it would continue to support output cuts by OPEC and other producers. West Texas Intermediate Crude oil futures for December ended up $1.33 or 2.4 percent at $57.85 a barrel.

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