The Taiwan stock market has finished higher now in three straight sessions - separated by a 10-day break for the Lunar New Year - and has surged more than 300 points or 4.2 percent in that span. The Taiwan Stock Exchange finished just above the 7,400-point plateau, although now traders are expected to lock in gains when the market kicks off trade on Tuesday.
The global forecast for the Asian markets suggests consolidation following continued concerns over the Greek debt problem, although bargain hunting may provide support later in the day. Steel stocks figure to fall under pressure, along with properties and technology shares. The European and U.S. markets finished firmly in the red, and the Asian markets are expected to open in similar fashion.
The TSE finished sharply higher on Monday following solid gains from the technology, cement, plastics, textile, paper, construction and financial sectors. For the day, the index surged 173.72 points or 2.40 percent to finish at 7,407.41 after trading between 7,382.72 and 7,443.03 on turnover of 140.51 billion Taiwan dollars. There were 2,988 gainers and 1,152 decliners, with 262 stocks finishing unchanged.
Among the gainers, Taiwan Semiconductor jumped 3.68 percent, while HTC added 0.92 percent, AU Optronics spiked 6.42 percent, Hon Hai Precision Industry surged 6.96 percent, Largan Precision climbed 6.62 percent and Genius Electronic Optical soared 6.78 percent.
The lead from Wall Street is modestly negative as stocks showed a substantial recovery on Monday after moving sharply lower in early trading. Stocks still finished in the red amid renewed concerns that the financial situation in Europe could lead to recession and its potential impact on the global economy.
Adding to the worries about Europe, Greek Finance Minister Evangelos Venizelos angrily rejected a German plan for the euro zone to impose a budget overseer on Greece in return for a new 130 billion euro bailout. Venizelos said the proposal would improperly force his country to choose between "financial assistance" and "national dignity." The report came as European leaders held a summit in Brussels regarding a permanent rescue fund for the euro zone.
Traders also reacted negatively to a report from the U.S. Commerce Department showing that personal spending came in nearly unchanged in December despite a notable increase in personal income. Personal income rose by 0.5 percent in December, although personal spending edged down by less than 0.1 percent. The savings rate reached a four-month high of 4.0 percent.
Selling pressure waned not long after the open, however, and stocks subsequently climbed well off their worst levels of the day. The rebound reflected the recent upward trend for the markets.
Among individual stocks, shares of Gannett (GCI) came under pressure on the day after the newspaper publisher reported a notable drop in advertising revenue at its newspaper division. Meanwhile, Thomas & Betts (TNB) moved sharply higher after the electrical components maker agreed to be acquired by Swiss engineering giant ABB Ltd. (ABB) for $3.9 billion in cash.
The major averages climbed well off their worst levels of the day but finished the day modestly below the unchanged line. The Dow edged down 6.74 points or 0.1 percent to finish at 12,653.72, while the NASDAQ slipped 4.61 points or 0.2 percent to 2,811.94 and the S&P 500 dropped 3.31 points or 0.3 percent to 1,313.02.
In economic news, Taiwan will on Tuesday announce preliminary figures for Q4 gross domestic product, with analysts suggesting an increase of 2.8 percent on year following the 3.42 percent expansion in the previous three months. Taiwan also will release the results of its leading index for December; it had fallen 0.1 percent on month in November.
Also, Taiwan's jobless rate declined to a seasonally adjusted 4.22 percent in December from 4.32 percent in November, the Directorate-General of Budget, Accounting and Statistics said Monday. Economists were expecting the rate to rise to 4.33 percent. On an unadjusted basis, the unemployment rate came in at 4.18 percent, down from 4.28 percent a month ago. The participation rate dipped to 58.28 in December from 58.32 percent in the previous month.
Also, Taiwan's M2 money supply increased in December, but at a weaker pace than in the previous month, data from the central bank showed Monday. M2 grew 5.01 percent year-on-year in December. This was weaker than the November growth rate mainly due to the slowing growth in bank loans and investments, according to the central bank. The annual rate of growth in M1B also declined to 3.51 percent.
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Market Analysis
June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.