Taiwanese shares rally
The TAIEX closed up 0.91 percent yesterday on a technical rebound and following Wall Street’s gains overnight, dealers said.
The index rose 68.65 points to 7,571.96 on turnover of NT$131.49 billion (US$4.08 billion).
Gainers led losers by 1,341 to 1,213, with 235 stocks unchanged.
The market opened up 0.93 percent as investors took advantage of Thursday’s losses and the momentum continued to test the 7,600 point level, before pressure set in to compromise the gains, dealers said.
“After the market fell [1.38 percent] yesterday, the market traded in a consolidation mode,” Yuanta Securities Investment Consulting (元大投顧) analyst Young Wang said. “Judging from the reduced turnover, market sentiment turned cautious to some extent.”
Taipower raises funds
Taiwan Power Co (Taipower, 台電), the nation’s biggest electricity producer, sold NT$15.7 billion in bonds to help fund the purchase of new generators and to build transmission lines.
The state-run utility sold NT$1.4 billion of three-year notes, NT$5.7 billion of five-year bonds, NT$3 billion of seven-year securities and NT$5.6 billion of 10-year debt, Taipower said in an e-mailed statement yesterday. The sale brought the Taipei-based company’s total bonds sold this year to NT$48.42 billion.
The three-year notes priced yesterday will pay an annual interest of 0.85 percent, the five-year bonds 1.26 percent, the seven-year debt 1.55 percent and the 10-year securities 1.78 percent, the company said.
Chunghwa profits fall
Chunghwa Telecom Co (中華電信), the nation’s largest telecoms operator, reported an 18 percent decline in third-quarter profit as costs rose and revenue growth stalled.
Net income fell to NT$10.92 billion from NT$13.29 billion a year, the Taipei-based company said in an e-mailed statement yesterday.
Chunghwa’s revenue growth stalled as demand for mobile phone and Internet services in its home market slows, while competition has forced the company to cut its tariffs. Increased spending on wireless and Internet networks raised costs.
Revenue slipped 0.8 percent to NT$46.3 billion, the statement said.
Chinatrust hit by US loans
Chinatrust Financial Holding Co (中信金控), which owns the nation’s largest credit card issuer, said its unaudited net profit totaled NT$1.08 billion in the first 9 months of the year, down 87 percent from a year earlier.
In a statement issued yesterday, Chinatrust Financial attributed the declining profit to a pretax loss of NT$1.13 billion at its US banking unit last month, which was the result of the disposal of non-performing loans and the falling value of its collateral.
The company didn’t provide a quarterly breakdown of its earnings, but based on its first-half net profit of NT$353.15 million, its third-quarter net profit was NT$726.9 million, down 83 percent from a year earlier.
CAL reveals debt levels
China Airlines Ltd (CAL, 中華航空) had liquid debt totaling NT$28.6 billion as at the end of last month, the company said in a filing to the Taiwan Stock Exchange. The carrier had NT$10.7 billion in cash holdings, the statement said.
NT dollar trades lower
The New Taiwan dollar lost ground against the US dollar on the Taipei Foreign Exchange yesterday, declining NT$0.097 to close at NT$32.240.
A total of US$948 million changed hands during the day’s trading.
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