Stocks fell for a second day, led by lenders such as Hua Nan Financial Holdings Co (
The TAIEX dropped 64.11, or 1.3 percent, to close at 4,726.50, with financial stocks accounting for more than two-fifths of the fall. The bank/insurance index slid 3.3 percent to 679.25, its biggest drop since Aug. 5.
More than four stocks fell for every one that rose. The total value of trade was NT$70 billion, the lowest since Oct. 15.
Premier Yu Shyi-kun said yesterday the government's decision to scrap some curbs on loans by community associations and credit cooperatives was an "adjustment" of policy. The government hadn't changed its plans to reform the financial industry, Yu said in a statement.
"This turnaround will reduce the effectiveness of financial reforms," said Ellen Shen, who helps manage NT$1.5 billion (US$43 million) in stocks at Ta Chong Investment Trust Corp (
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