Plus   Neg

Renewed Selling Pressure Tipped For Taiwan Shares

The Taiwan stock market bounced higher again on Monday, one session after it had halted the three-day winning streak in which it had gathered almost 140 points or 1.4 percent. The Taiwan Stock Exchange now rests just above the 11,065-point plateau although it's likely to head south again on Tuesday.

The global forecast for the Asian markets is slightly soft on renewed uncertainty about a trade deal between the United States and China. The European and U.S. markets finished in the red and the Asian bourses are tipped to follow suit.

The TSE finished sharply higher on Monday following gains from the financial shares, technology stocks and cement companies.

For the day, the index spiked 176.99 points or 1.63 percent to finish at 11,066.95 after trading between 11,004.74 and 11,085.49.

Among the actives, Cathay Financial collected 0.25 percent, while Mega Financial added 0.52 percent, CTBC Financial gained 1.46 percent, Fubon Financial perked 2.05 percent, First Financial advanced 0.92 percent, E Sun Financial rose 0.19 percent, Taiwan Semiconductor Manufacturing Company spiked 2.84 percent, United Microelectronics Corporation accelerated 2.66 percent, Hon Hai Precision jumped 2.19 percent, Catcher Technology climbed 2.18 percent, MediaTek shed 0.40 percent, Asia Cement gathered 1.42 percent, Taiwan Cement picked up 1.14 percent and Largan Precision was unchanged.

The lead from Wall Street is weak as stocks showed a lack of direction on Monday, bouncing back and forth across the unchanged line before ending slightly lower.

The Dow shed 29.23 points or 0.11 percent to finish at 26,787.36, while the NASDAQ lost 8.39 points or 0.10 percent to 8,048.65 and the S&P 500 fell 4.12 points or 0.14 percent to 2,966.15.

The choppy trading on Wall Street came amid light volume due to the Columbus Day holiday as well as renewed uncertainty about a trade deal with China as reports suggest China wants another round of talks before signing the agreement.

Traders are also adopting a wait-and-see attitude ahead of earnings season, which kicks off this week.

Crude oil futures drifted lower Monday on weak data out of China and Brexit concerns weighed on the outlook for energy demand. West Texas Intermediate crude oil futures for November ended down $1.11 or 2 percent at $53.59 a barrel.

For comments and feedback contact: editorial@rttnews.com

Market Analysis

Follow RTT