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Taiwan Stock Market Tipped To Open Under Pressure

The Taiwan stock market on Monday ended the two-day slide in which it had surrendered almost 160 points or 1.5 percent. The Taiwan Stock Exchange now rests just above the 11,500-point plateau although it's looking at a soft start on Tuesday.

The global forecast for the Asian markets is negative as soft data stoked fears for the health of the world economy. The European and U.S. markets were down and the Asian bourses are predicted to open in similar fashion.

The TSE finished slightly higher on Monday following mixed performances from the financials and technology stocks, while the cement companies weighed.

For the day, the index rose 13.26 points or 0.12 percent to finish at 11,502.83 after trading between 11,454.38 and 11,524.85.

Among the actives, Cathay Financial eased 0.12 percent, while First Financial fell 0.22 percent, E Sun Financial collected 0.74 percent, Taiwan Semiconductor Manufacturing Company added 0.82 percent, United Microelectronics Corporation advanced 1.00 percent, Hon Hai Precision rose 0.11 percent, Largan Precision jumped 1.80 percent, Catcher Technology tumbled 1.40 percent, MediaTek skidded 1.19 percent, Asia Cement sank 0.77 percent, Taiwan Cement dipped 0.12 percent, Formosa Plastic perked 0.93 percent and Mega Financial, CTBC Financial and Fubon Financial were unchanged.

The lead from Wall Street is soft as stocks showed a notable move to the downside on Monday, extending losses from the previous session and pulling back further from the record highs set last Wednesday.

The Dow shed 268.37 points or 0.96 percent to 27,783.04, while the NASDAQ lost 97.48 points or 1.12 percent to 8,567.99 and the S&P 500 fell 27.11 points or 0.86 percent to 3,113.87.

The continued weakness on Wall Street followed a report from the Institute for Supply Management noting continued contraction in U.S. manufacturing activity in November. A separate report from the Commerce Department showed an unexpected decrease in U.S. construction spending in October.

Traders also reacted to President Donald Trump announcing plans to reinstate tariffs on metal imports from Brazil and Argentina.

The price of crude oil regained some ground during on Monday following Friday's substantial decline. Crude oil for February delivery climbed $0.79 or 1.4 percent to $55.96 a barrel after plummeting $2.94 or 5.1 percent to $55.17 a barrel in the previous session.

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