Win Streak Nay Continue For Taiwan Stock Market

(RTTNews) - The Taiwan stock market has moved higher in four straight sessions, collecting almost 775 points or 3.5 percent along the way. The Taiwan Stock Exchange now sits just above the 22,430-point plateau and it's expected to open to the upside again on Wednesday.

The global forecast for the Asian markets is positive on continued optimism over the outlook for interest rates. The European and U.S. markets saw mild upside and the Asian bourses figure to open in similar fashion, although some of the more oversold markets may correct to the downside.

The TSE finished modestly higher on Tuesday following gains from the financial shares and a mixed performance from the technology stocks.

For the day, the index climbed 146.25 points or 0.66 percent to finish at the daily high of 22,431.78 after moving as low as 22,154.55.

Among the actives, Cathay Financial improved 1.38 percent, while Mega Financial rose 0.25 percent, CTBC Financial dropped 0.99 percent, First Financial collected 0.73 percent, Fubon Financial increased 0.76 percent, E Sun Financial added 0.35 percent, Taiwan Semiconductor Manufacturing Company climbed 1.02 percent, United Microelectronics Corporation eased 0.19 percent, Hon Hai Precision strengthened 1.67 percent, Largan Precision sank 0.76 percent, MediaTek surged 4.37 percent, Delta Electronics rallied 1.66 percent, Novatek Microelectronics shed 0.57 percent, Formosa Plastics lost 0.51 percent, Asia Cement perked 0.22 percent and Catcher Technology and Nan Ya Plastics were unchanged.

The lead from Wall Street is cautiously optimistic as the major averages opened slightly higher on Tuesday, bounced back and forth across the line and finally ended mixed and little changed.

The Dow added 83.57 points or 0.20 percent to finish at 42,208.22, while the NASDAQ gained 100.25 points or 0.56 percent to end at 18,074.52 and the S&P 500 rose 14.36 points or 0.25 percent to close at 5,732.93.

The strength that emerged on Wall Street came on continued optimism for more rate cuts from the Federal Reserve in the coming months.

The upside was limited by concerns for the economy after the Conference Board reported a notable deterioration in U.S. consumer confidence in September.

Oil prices rallied on Tuesday as concerns about the outlook for demand eased after the Chinese central bank announced a slew of stimulus measures to boost the nation's economy. An escalation in tensions in the Middle East, and reports of a new storm in Gulf of Mexico also contributed to the rise in oil prices. West Texas Intermediate Crude oil futures ended up by $1.19 or about 1.7 percent at $71.56 a barrel.

Closer to home, Taiwan will see August figures for industrial production later today; in July, production was up 12.3 percent on year.