Cathay Financial and AU Optronics push TAIEX up

About 10 stocks rose for every one that declined on the TAIEX yesterday, led by Cathay Financial Holding Co (國泰金控) following a report that the company's paper gains in real estate investments will exceed NT$60 billion (US$1.8 billion) this year as property prices rise amid strong demand.

AU Optronics Corp (友達光電), the nation's largest maker of flat-panel displays used in computers and TVs, advanced after turning to a profit in the fourth quarter.

The TAIEX added 62.73, or 1 percent, to 6,375.38. The benchmark gained 1.7 percent this week, its fifth straight weekly advance, and 8.2 percent for the month.

The Taiwan Futures Index added 0.8 percent to 6,381.

About 5.9 billion shares changed hands, 49 percent above the average daily trading in the past three months. Shares worth NT$125.7 billion (US$3.8 billion) were traded, 46 percent above the three-month daily average.

AU Optronics gained NT$0.70, or 1.5 percent, to NT$47.90. The company had an unaudited fourth-quarter profit of NT$7.6 billion, as prices for screens increased. It had a net loss of NT$777.6 million in the three-month period ended Dec. 31 a year earlier.

Cathay Financial, the nation's largest financial company by market value, gained NT$1, or 1.9 percent, to NT$55. The company said it had net income of NT$20.6 billion (US$617.2 million) in 2003, according to a statement.

Cathay has invested NT$126 billion in local properties, a Chinese-language newspaper said.