Thu, Aug 09, 2007 - Page 11 News List

Shares rise on Wall Street gains

AFP , TAIPEI

Shares closed 2.68 percent higher yesterday after Wall Street's extended gains overnight and the US Federal Reserve left key interest rates intact, dealers said.

They said strength in regional markets during the morning session also encouraged local investors to chase prices much higher during late trading.

The TAIEX closed up 237.15 points at 9,099.46 on turnover of NT$143.69 billion (US$4.37 billion).

Risers led decliners 1,317 to 305, with 155 stocks unchanged.

A total of 79 stocks closed limit-up, while four were limit-down.

Non-tech stocks led the surge.

The food index was up 4.8 percent on rising prices for consumer staples. The paper products index gained 4 percent, boosted by steep third quarter price increases.

Kai Yuan Securities Investment Consultant Co (開元投顧) president Tom Tang (湯建源) said the local bourse staged a technical rebound on the back of the New York lead and firmer regional markets.

He also said companies that had experienced severe losses on the local market lately had significant recoveries yesterday.

Besides the technical rebound factor, local financial firms also attracted interest after they disclosed lower-than-expected estimated losses from their exposure to US subprime mortgages.

Companies with operations in China also made gains on expectations of strong demand.

The market is anticipated to consolidate in the range of 8,800 points to 9,500 points.

This story has been viewed 1800 times.
TOP top