CAL leads gainers as TAIEX rises amid quiet trading

The TAIEX rose yesterday, led by transportation shares such as China Airlines (CAL, 華航) after crude oil prices fell to the lowest in more than two months.

Fubon Financial Holding Co (富邦金控) slumped by its daily limit after Citigroup Inc said it would sell its entire stake in the country's fifth-largest financial services provider.

Trading was quite as investors remained cautious ahead of the US Federal Reserve meeting on interest rates, dealers said.

The TAIEX added 31.68, or 0.6 percent, to 5,741.52. Almost two shares rose for each that fell. Futures for July delivery rose 0.5 percent to 5,644.

CAL rose 2.4 percent to NT$17. Fuel makes up about a quarter of its total costs. EVA Airways Corp (長榮) gained 1.5 percent to NT$13.90.

Fubon Financial shed 6.8 percent to NT$29.

Nanya Technology Corp (南亞科技) gained on optimism recent price increases for the most widely used computer memory chip would boost profitability.

Nanya Technology rose 1.6 percent to NT$25.60. ProMOS Technologies Inc (茂德科技), the second largest, added 0.6 percent to NT$18.40.

Exporters such as AU Optronics Corp (友達光電) declined on concern that prospects for higher borrowing costs in the US will stifle demand in the world's largest economy and the nation's second-largest export market.

AU Optronics, the world's third-largest maker of flat-panel displays, slipped 0.2 percent to NT$49.90.

Quanta Computer Inc (廣達電腦), the world's largest notebook computer maker, fell as much as 1.4 percent before ending unchanged at NT$70.