Shares close higher
Taiwanese shares closed up 0.61 percent yesterday after buying was triggered by a Wall Street surge overnight, dealers said.
The TAIEX index rose 45.59 points to 7,463.05 on turnover of NT$92.35 billion (US$2.84 billion).
Gainers led losers by 1,286 to 1,134, with 323 stocks unchanged.
The market opened 1.39 percent higher as investors were encouraged by a breach of the 10,000 point mark on Wall Street, and the momentum vaulted the weighted index past 7,520 points before profit-taking set in, dealers said.
However, citing the day’s “thin turnover,” Concord Securities (康和證券) analyst Allen Lin said that “Wall Street’s strong showing failed to call too many investors back to the trading floor.
“Sentiment remained cautious as investors fear a major correction will come soon after recent significant gains,” he said.
China Development pleased
China Development Financial Holding Co (中華開發金控) yesterday reported a better-than-expected NT$933 million (US$28.7 million) in net profit for last month, its exchange filing said.
Net income in the first 10 months reached NT$6.234 billion, or NT$0.59 per share, the filing said.
Banking arm China Development Industrial Bank (中華開發工銀) posted NT$5.324 billion in net profit for the first 10 months, including NT$623 million for last month, while securities arm Grand Cathay Securities (大華證券) delivered NT$2.02 billion in net income for the first 10 months, including NT$371 million for last month.
Banks report income
Chang Hwa Bank (彰化銀行) yesterday reported NT$1.9 billion (US$58 million) in net incomes for the first 10 months of the year after setting aside a provision of NT$4.42 billion for bad loans, the bank said in an exchange filling.
The bank has written off NT$5.2 billion in bad loans, it added.
Meanwhile, Taiwan Business Bank (台灣企銀) reported NT$125 million in pre-tax profits for last month after setting aside NT$396 million in provision.
Before-tax profit in the first 10 months reached NT$1.36 billion, or NT$0.35 per share, with a net worth of NT$10.73 per share, the lender said in a separate filing yesterday.
HannStar sales down again
Local liquid-crystal-display (LCD) panel maker HannStar Display Corp (瀚宇彩晶) yesterday posted a second consecutive monthly sales decline for last month as price dropped on weakening demand.
October sales fell 7.5 percent to NT$5.01 billion (US$154 million), compared with NT$5.4 billion in September, according to the company statement. That, however, represented about 61 percent year-on-year growth from NT$3.11 billion.
HannStar expected the average selling price to decline by a high-single-digit percentage in the fourth quarter, compared with US$103 in the third quarter.
PC and TV panel shipments decreased slightly by 0.7 percent month-on-month to 900,000 units last month.
NT dollar still gaining
The New Taiwan dollar continued gaining ground against the US dollar on the Taipei Foreign Exchange yesterday, rising NT$0.027 to close at NT$32.509. Turnover was US$593 million.
For the week, the NT dollar rose against the greenback on speculation that the improving economy will encourage overseas investors to buy Taiwanese assets.
A central bank report on Thursday showed that Taiwan’s foreign-exchange reserves rose 2.7 percent to US$341.2 billion last month, which helped support the local currency, said Tarsicio Tong, a currency trader at Union Bank of Taiwan (聯邦銀行).
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