Nan Ya leads decliners on first-half profit loss

Stocks declined for a second day yesterday. Nan Ya Plastics Corp (南亞塑膠) fell after it said first-half profit declined from a year ago as its computer-memory-chip unit had a loss.

Exporters such as Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) gained on optimism demand in the US will improve.

"The US economy is showing clear signals of growth, helping to bolster investor confidence in big exporters like Taiwan," said Simon Chao (趙永宏), who manages US$17 million at President Investment Trust Corp (統一投信).

The TAIEX shed 4.82, or 0.1 percent, to 5,553.43. The index futures contracts for September delivery fell 0.6 percent to 5,548. Turnover was NT$96.7 billion (US$2.82 billion). Decliners led advancers 467 to 220, with 115 stocks unchanged.

The financial sector outperformed after the Ministry of Finance said the National Stabilization Fund's steering committee had not set any deadline to sell off its holdings.

Cathay Financial Holding Co (國泰金控), gained 4.4 percent to end at NT$42.50 and First Financial Holding Co (第一金控), rose 2 percent to NT$20.30.

Nan Ya Plastics fell NT$0.70, or 1.7 percent, to NT$41.20. It said net income in the first half dropped to NT$8.22 billion from NT$9.02 billion a year ago.

TSMC rose NT$1, or 1.6 percent, to NT$64.