Electronics send TAIEX tumbling
Taiwan’s benchmark index fell 0.73 percent yesterday, with heavy losses for electronics sector heavyweights amid investors’ concerns about a looming global recession.
The TAIEX closed down 56.83 points to end at 7,741.76 on turnover of NT$110.116 billion (US$3.80 billion).
The broader market decline was triggered by the trading deadline for Taiwan stock index futures, which falls on the third Wednesday of every month.
It accelerated when Taiwan’s weighting was dropped in both the MSCI Emerging Markets Free Index and MSCI Asia Pacific Index in Morgan Stanley Capital International’s latest review.
A total of 1,605 stocks closed up and 2,723 were down, with 493 remaining unchanged.
NT$30bn in bonds sold
The government sold NT$30 billion in 30-year bonds at a yield of 1.99 percent at an auction yesterday, the central bank said in a conference call.
The yield compared with the 1.992 percent median estimate in a Bloomberg News survey of six finance companies. The government last sold 30-year debt in May at a yield of 1.889 percent. That offer had a bid-to-cover ratio of 1.8 times.
High-tech exports rules relaxed
The government has relaxed restrictions against the export of strategic high-tech commodities, including photomasks used in the semiconductor manufacturing sector, tool machines, IC and data protection devices, officials from the Bureau of Foreign Trade said on Tuesday.
Under an amendment to the regulations governing management of strategic high-tech commodity exports and imports, the export of sensitive high-tech products to member countries of four international export control organizations will be relaxed from “one export within six months only” to “more than one within two years.”
Currently, there are 30 countries affiliated with the four export control organizations — the Nuclear Supplier Group, the Wassenaar Agreement, the Missile Technology Control Regime and the Australia Group.
Bureau officials said the amendment does not apply to countries that are listed as high risks in export of strategic high-tech products. These include China, North Korea, Cuba, Iran, Syria and Sudan.
TransAsia hires SE Asia head
TransAsia Airways Corp (復興航空), one of the nation’s international air carriers, announced yesterday it had hired Andrew Stephen, former Qatar Airways president in Singapore, as its president in Southeast Asia.
Stephen will lead the air carrier to expand the intra-Asian air networks by developing more routes in China and Southeast Asia, the company said in a statement.
Stephen has served in the airlines sector for more than 30 years. Before working at Qatar Airways, he served as United Airlines president in Hong Kong, TransAsia Airways said.
Tudou raises US$174m in IPO
Tudou Holdings Ltd (土豆網), China’s second-biggest video Web site, raised US$174 million on Tuesday in its US initial public offering (IPO), a person with knowledge of the matter said.
The Shanghai-based company sold 6 million American Depositary Receipts (ADR) at US$29 apiece, the person said. Tudou had offered the ADRs for US$28 to US$30 each, according to a regulatory filing. They were to start trading yesterday on the NASDAQ Stock Market under the symbol “TUDO.”
NT dollar falls
The New Taiwan dollar fell against the US currency yesterday, down NT$0.014 to close at NT$28.962.