Stocks gained yesterday, led by computer-related shares such as Taiwan Semiconductor Manufac-turing Co (TSMC, 台積電), after US business spending on equipment and software rose at the fastest pace in three years.
Investors apparently responded favorably to news of the National Stabilization Fund teaming up Thursday with other government funds to convert shareholdings worth over NT$16.5 billion into certificates of the nation's first exchange-traded fund (ETF), using the Taiwan Stock Ex-change's Taiwan 50 Index as the benchmark, dealers said.
The move eased investor concerns over the possible impact of the fund's disposal of stocks on the spot market, they said.
"Such a measure indicated that the government does not want the fund's stock sale to hurt the market," said Fubon Securities (富邦證券) senior vice president Frank Lin said.
The TAIEX rose 127.71, or 2.3 percent, to 5,650.83 on turnover of NT$104.63 billion (US$3.06 billion). The futures contract for September delivery rose 2.2 percent to 5,668. More than six stocks gained for every one that declined.
TSMC rose NT$1.50, or 2.3 percent, to NT$67. United Microelectronics Corp (
Second-quarter purchases of equipment and software by busi-nesses rose at an 8.2 percent annual rate, according to a US Commerce Department report.
VIA Technologies Inc (威盛 電子) fell NT$2, or 3.7 percent, to NT$52.50. VIA had a third straight quarterly loss after costs rose and competition with rivals eroded its market share.
Cosmos Bank Taiwan (
RSS