Bourse boosted by demand for notebooks with new chip

Stocks advanced for a second day yesterday. Compal Electronics Inc (仁寶) led gains after the Central News Agency said demand was rising for notebook computers featuring Intel Corp's new faster wireless chipset.

The TAIEX added 4.19, or 0.1 percent, to 5,998.08. The index gained 0.2 percent yesterday.

About six stocks rose for every five that fell. Futures due this month advanced 0.3 percent to 6,007.

Shipments from the nation's four notebook computer makers that use the chipset -- Compal Electronics, Inventec Co (英業達), Wistron Corp (緯創) and Quanta Computer Inc (廣達) -- jumped 57 percent last month from a year earlier, the report said.

"Demand for notebook computer remains healthy and new technology is a positive factor," said Liu Juming, a fund manager at Ta Chong Investment Trust Corp (大眾投信).

Consumers are buying more products using Intel's new wireless Centrino chipset codenamed Sonoma, which was introduced in January to provide faster Internet connection, the agency said.

Compal Electronics, the world's second-biggest notebook computer maker, jumped 2.2 percent to NT$29.75. Quanta Computer, the biggest, rose 0.8 percent to NT$53.90. Inventec rose 0.3 percent to NT$15.10.

Wistron, controlled by Acer Inc, was unchanged at NT$17.90.

China Development Financial Holding Corp (中華開發金控) rose 0.4 percent to NT$13.10.

The company's president, Angelo Koo (辜仲瑩), may seek a merger between KGI Securities Corp (中信證券), which his family controls, and President Securities Corp (統一證券), a Chinese-language newspaper reported, without saying where it got the information.

KGI fell 0.7 percent to NT$14.10. President Securities gained 1.4 percent to NT$17.65.

Koo has been seeking to take over both brokerages along with Grand Cathay Securities Corp (大華證券) and combine them into his company. China Development postponed an acquisition of the three brokerages on March 24 after a board member rejected the plan.