Taiwan shares end higher, led by old-economy stocks

Shares in Taiwan recovered earlier losses Tuesday after some major old-economy stocks staged a rebound, pushing up the broader market into positive territory by the end of the session, dealers said.

Turnover remained thin, with many investors remaining cautious over upcoming earnings reports from heavyweights at home and in the U.S. market, and following lackluster performance on Wall Street overnight, where investors were wary of a possible swifter pace of U.S. Federal Reserve interest rate hikes, the dealers said.

The weighted index on the Taiwan Stock Exchange closed up 46.36 points, or 0.51 percent, at 9,222.58, after moving between 9175.07 and 9222.58, on turnover of NT$62.50 billion (US$1.97 billion).

The market opened down 1.15 points at 9,175.07 and fell to the day’s low of 9,157 before closing at the day’s high of 9222.58.

Select old-economy shares and the financial sector outperformed the electronics sector, with strong showing by textiles, cement, glass, plastics and chemical shares helping to vault the weighted index back into the black.

Quang Viet Enterprise Co. Ltd., an apparel manufacturing company, rose 16.03 percent to end at NT$181 on its first day of trading on the market.

Market sentiment turned cautious as major U.S. and Taiwanese companies are set to release their quarterly earning reports in the next three weeks, said Kevin Lin (???), vice president of Caizischool Co., who added that earnings reports by Intel and Apple Inc., expected later in the week and next week, could affect the Taiex.

Investors might also remain alert before the U.S. presidential election, according to Lin.

He suggested that investors pay attention to personal computers, automobiles and auto parts, as well as the steel and cement sectors, as they have entered the peak production season in the fourth quarter of the year.

Source: Focus Taiwan News Channel