Share prices closed 0.12 percent higher yesterday in a thin, mixed market as select positive industry leads were offset by concerns over a possible outflow of funds as the US dollar continued to firm, dealers said.
They said foreign investors may be tempted to move their funds out of the local market as a stronger US dollar and the prospect of higher US interest rates made US assets more attractive.
The weighted index rose 6.86 points at 5,942.85, on turnover of NT$44.01 billion (US$1.37 billion).
Decliners led gainers 449 to 262, while 176 stocks were unchanged.
The cement sector was up 1.36 percent, followed by electronics with a gain of 0.34 percent and financials up 0.1 percent.
"Some got a lift from positive industry factors and some attracted bargain-hunting," said Frank Lin, senior vice president at Fubon Securities Co (
Selected funds were still parked in Chinese yuan-denominated assets, negatively affecting sentiment for the local bourse, Lin added.
Airline stocks out-performed the broader market on a report that China had agreed in principle to open direct cross-strait charter flights during next month's Lunar New Year holidays, dealers said.
Barro Liao (
China Airlines (