The annual growth of M1B and M2 money supply fell last month amid slowing growth in bank loans and investments, the central bank said yesterday.
M1B, a narrow measure of money supply in circulation, rose 7.44 percent from a year ago, down from a 7.6 percent increase in July, the central bank said.
The broader M2 monetary measurement — which includes M1B, time deposits, savings deposits, foreign currency deposits and mutual funds — increased 6.16 percent year-on-year last month, down from a 6.18 percent growth rate in July, data showed.
“Although the growth of M1B and M2 slowed last month, the capital momentum remained abundant,” Chen E-dawn (陳一端), deputy head of the bank’s economic research department, told a media briefing.
Foreign investors sold a net total of NT$191.35 billion (US$6.26 billion) in local shares last month and the outflow of net foreign capital totaled US$8.02 billion last month, Chen said.
However, foreign-held New Taiwan dollar deposits surged NT$22.2 billion to NT$282.4 billion from a month earlier, indicating that market liquidity was still healthy, she added.
Foreign currency deposits dropped to NT$2.48 trillion last month, after hitting a record high of NT$2.59 trillion in July, amid strong demand from firms paying dividends, Chen said.
Local listed companies paid NT$514 billion in dividends last month, up from a total of NT$215 billion a month ago. These companies are expected to pay another NT$170 billion in dividends this month, the bank said.
In the first eight months, the monetary aggregates M1B and M2 rose 8.4 percent and 6.01 percent respectively, according to the bank’s data.
DECOUPLING? In a sign of deeper US-China technology decoupling, Apple has held initial talks about using Baidu’s generative AI technology in its iPhones, the Wall Street Journal said China has introduced guidelines to phase out US microprocessors from Intel Corp and Advanced Micro Devices Inc (AMD) from government PCs and servers, the Financial Times reported yesterday. The procurement guidance also seeks to sideline Microsoft Corp’s Windows operating system and foreign-made database software in favor of domestic options, the report said. Chinese officials have begun following the guidelines, which were unveiled in December last year, the report said. They order government agencies above the township level to include criteria requiring “safe and reliable” processors and operating systems when making purchases, the newspaper said. The US has been aiming to boost domestic semiconductor
Nvidia Corp earned its US$2.2 trillion market cap by producing artificial intelligence (AI) chips that have become the lifeblood powering the new era of generative AI developers from start-ups to Microsoft Corp, OpenAI and Google parent Alphabet Inc. Almost as important to its hardware is the company’s nearly 20 years’ worth of computer code, which helps make competition with the company nearly impossible. More than 4 million global developers rely on Nvidia’s CUDA software platform to build AI and other apps. Now a coalition of tech companies that includes Qualcomm Inc, Google and Intel Corp plans to loosen Nvidia’s chokehold by going
ENERGY IMPACT: The electricity rate hike is expected to add about NT$4 billion to TSMC’s electricity bill a year and cut its annual earnings per share by about NT$0.154 Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) has left its long-term gross margin target unchanged despite the government deciding on Friday to raise electricity rates. One of the heaviest power consuming manufacturers in Taiwan, TSMC said it always respects the government’s energy policy and would continue to operate its fabs by making efforts in energy conservation. The chipmaker said it has left a long-term goal of more than 53 percent in gross margin unchanged. The Ministry of Economic Affairs concluded a power rate evaluation meeting on Friday, announcing electricity tariffs would go up by 11 percent on average to about NT$3.4518 per kilowatt-hour (kWh)
OPENING ADDRESS: The CEO is to give a speech on the future of high-performance computing and artificial intelligence at the trade show’s opening on June 3, TAITRA said Advanced Micro Devices Inc (AMD) chairperson and chief executive officer Lisa Su (蘇姿丰) is to deliver the opening keynote speech at Computex Taipei this year, the event’s organizer said in a statement yesterday. Su is to give a speech on the future of high-performance computing (HPC) in the artificial intelligence (AI) era to open Computex, one of the world’s largest computer and technology trade events, at 9:30am on June 3, the Taiwan External Trade Development Council (TAITRA) said. Su is to explore how AMD and the company’s strategic technology partners are pushing the limits of AI and HPC, from data centers to