Taiwan Bourse Tipped To Open In The Green

(RTTNews) - The Taiwan stock market has moved higher in back-to-back sessions, gathering more than 300 points or 1.5 percent in that span. The Taiwan Stock Exchange now sits just above the 20,520-point plateau and it's likely to extend its gains on Tuesday. The global forecast for the Asian markets is upbeat on renewed optimism over the outlook for interest rates. The European and U.S. markets were firmly higher and the Asian markets are predicted to open in similar fashion. The TSE finished sharply higher on Monday following gains from the financial shares, technology stocks and cement companies. For the day, the index jumped 192.99 points or 0.95 percent to finish at 20,523.31 after trading between 20,479.80 and 20,639.90. Among the actives, Cathay Financial collected 1.39 percent, while Mega Financial soared 2.75 percent, CTBC Financial surged 3.88 percent, First Financial jumped 1.82 percent, Fubon Financial rallied 1.45 percent, E Sun Financial spiked 1.81 percent, Taiwan Semiconductor Manufacturing Company improved 0.77 percent, United Microelectronics Corporation added 0.58 percent, Hon Hai Precision skyrocketed 7.37 percent, Largan Precision strengthened 1.58 percent, MediaTek shed 0.48 percent, Delta Electronics retreated 1.68 percent, Novatek Microelectronics perked 0.16 percent, Formosa Plastics climbed 1.02 percent, Nan Ya Plastics gained 1.58 percent, Asia Cement advanced 1.25 percent, Taiwan Cement accelerated 1.85 percent, China Steel added 0.60 percent and Catcher Technology was unchanged. The lead from Wall Street is broadly positive as the major averages opened higher on Monday and remained firmly in the green throughout the trading day.

The Dow advanced 176.59 points or 0.46 percent to finish at 38,852.27, while the NASDAQ rallied 192.92 points or 1.19 percent to close at 16,349.25 and the S&P 500 improved 52.95 points or 1.03 percent to end at 5,180.74.

Stocks continued to benefit from the upward momentum seen over the two previous sessions, which partly reflected renewed optimism about the outlook for interest rates.

Relatively dovish comments from Federal Reserve Chair Jerome Powell combined with weaker-than-expected job growth in April have largely eliminated short-lived concerns the Fed might actually consider raising rates.

Investors have instead grown increasingly confident about a rate cut in the coming months, with the chances rates will be lower by September now at 83.5 percent, according to CME Group's FedWatch Tool.

Crude oil futures settled modestly higher on Monday following Saudi Arabia's decision to hike its selling price for the European and Asian markets. West Texas Intermediate Crude oil futures for June ended higher by $0.37 or 0.47 percent at $78.48 a barrel. Closer to home, Taiwan will release April results for consumer prices later today; in March, overall inflation was up 0.26 percent on month and 2.14 percent on year.