Taiwan stocks rose, paced by TaipeiBank (台北銀行), after Fubon Financial Holding Co (富邦金控) said it will pay NT$80.3 billion in new shares to take over the lender controlled by the city government.
Stocks also gained after the Dow Jones Industrial Average and Standard & Poor's 500 Index had their biggest three-day rallies in almost 15 years.
The TAIEX rose 151.21, or 3.2 percent, to 4851.44, as almost 14 stocks rose for every one that fell. The benchmark fell 1.4 percent in the week. The total volume of trade today was NT$82.84 billion, the highest this month.
TaipeiBank rose by its 6.9 percent daily limit, to NT$30.90. Fubon was unchanged at NT$32.8.
"That'll lift TaipeiBank's shares, though for Fubon the benefits will take longer to show," said David Chu, who manages NT$700 million in stocks at Reliance Securities Investment Trust Co (德信投信). "I'm buying a few financial stocks, but I'm focusing on electronics stocks. Demand should start reviving at the end of the third quarter and into the fourth quarter."
Micro-Star International Co (微星電腦) rose NT$3.50, or 3.6 percent, to NT$101. Taiwan's second-largest maker of motherboards reported sales in July rose 58 percent from a year earlier and a fifth from the previous month to NT$4.89 billion.
Gigabyte Technology Co (技嘉科技) rose NT$4, or 5.4 percent, to NT$78.50. The motherboard maker said sales in July rose 10 percent on year and 7 percent from June to NT$2.2 billion.
Arima Computer Corp (華宇電腦) rose NT$0.80, or 4.5 percent, to NT$18.50. The notebook-computer maker reported July sales more than doubled from a year earlier.
BUSINESS UPDATE: The iPhone assembler said operations outlook is expected to show quarter-on-quarter and year-on-year growth for the second quarter Hon Hai Precision Industry Co (鴻海精密) yesterday reported strong growth in sales last month, potentially raising expectations for iPhone sales while artificial intelligence (AI)-related business booms. The company, which assembles the majority of Apple Inc’s smartphones, reported a 19.03 percent rise in monthly sales to NT$510.9 billion (US$15.78 billion), from NT$429.22 billion in the same period last year. On a monthly basis, sales rose 14.16 percent, it said. The company in a statement said that last month’s revenue was a record-breaking April performance. Hon Hai, known also as Foxconn Technology Group (富士康科技集團), assembles most iPhones, but the company is diversifying its business to
Apple Inc has been developing a homegrown chip to run artificial intelligence (AI) tools in data centers, although it is unclear if the semiconductor would ever be deployed, the Wall Street Journal reported on Monday. The effort would build on Apple’s previous efforts to make in-house chips, which run in its iPhones, Macs and other devices, according to the Journal, which cited unidentified people familiar with the matter. The server project is code-named ACDC (Apple Chips in Data Center) within the company, aiming to utilize Apple’s expertise in chip design for the company’s server infrastructure, the newspaper said. While this initiative has been
GlobalWafers Co (環球晶圓), the world’s No. 3 silicon wafer supplier, yesterday said that revenue would rise moderately in the second half of this year, driven primarily by robust demand for advanced wafers used in high-bandwidth memory (HBM) chips, a key component of artificial intelligence (AI) technology. “The first quarter is the lowest point of this cycle. The second half will be better than the first for the whole semiconductor industry and for GlobalWafers,” chairwoman Doris Hsu (徐秀蘭) said during an online investors’ conference. “HBM would definitely be the key growth driver in the second half,” Hsu said. “That is our big hope
The consumer price index (CPI) last month eased to 1.95 percent, below the central bank’s 2 percent target, as food and entertainment cost increases decelerated, helped by stable egg prices, the Directorate-General of Budget, Accounting and Statistics (DGBAS) said yesterday. The slowdown bucked predictions by policymakers and academics that inflationary pressures would build up following double-digit electricity rate hikes on April 1. “The latest CPI data came after the cost of eating out and rent grew moderately amid mixed international raw material prices,” DGBAS official Tsao Chih-hung (曹志弘) told a news conference in Taipei. The central bank in March raised interest rates by