TAIEX falls on thin trading
The TAIEX fell below 7,100 points yesterday, with the trading volume plunging below NT$60 billion (US$1.99 billion) for the first time since Feb. 24, 2009.
The weighted index closed down 0.6 percent, or 42.6 points, to end at 7,098.08, after moving between 7,057.33 and 7,149.58 on turnover of NT$58.22 billion.
A total of 1,137 stocks closed up, 2,301 were down and 452 were unchanged. The foodstuffs sector suffered the heaviest losses among the eight major sectors, finishing down 1 percent.
HTC plunges on patent worries
Shares of HTC Corp (宏達電) yesterday fell to their lowest level in 17 months as investors sold the stock on speculation that the US’ International Trade Commission’s ruling today on a patent complaint brought by Apple Inc may result in a ban on US imports of HTC handsets.
HTC declined by its 7 percent daily limit to close at NT$448.50 on the Taiwan Stock Exchange, its lowest since July last year.
The company’s shares have dropped 21 percent, wiping out NT$100 billion in market value, since Nov. 23, when it cut its fourth-quarter revenue forecast because of stronger competition and a weaker global economy.
Formosa Plastics sales rise
Formosa Plastics Corp (台塑) said in a statement to the stock exchange that its sales last month rose 12.8 percent month-on-month to NT$14.24 billion as it benefited from a rash of orders from overseas after a fire broke out at Tosoh’s No. 2 vinyl chloride monomer (VCM) plant in Japan on Nov. 13.
However, last month’s figure was 13.9 percent lower than a year earlier because of weaker demand from China and Europe.
The company said it was still cautious about demand for this month and the first quarter of next year amid growing global uncertainties.
In the first 11 months of the year, Formosa Plastics’ accumulated sales totaled NT$173.69 billion, down 2.4 percent year-on-year, company data showed.
CAL’s board passes bonds plan
China Airlines Ltd’s (CAL, 中華航空) board of directors approved a plan to sell up to NT$6 billion in three-year unsecured bonds via a private placement at an interest rate of 2 percent, the nation’s largest carrier said in a statement to the stock exchange yesterday.
The proceeds will be used to repay debt and replenish working capital, it said in the statement.
Economic team visits US
A delegation organized by the Ministry of Economic Affairs departed on Sunday for a week-long trip to the US, where it plans to visit companies such as Southern California Edison, TRENDnet and Alta Devices to talk about cooperation and investment opportunities.
In addition, the delegation plans to visit Soladigm, a US company that manufactures energy-saving intelligent windows.
The delegation, headed by Ling Chia-yuh (凌家裕), director-general of the ministry’s Department of Investment Services, is composed of economic affairs officials and representatives of the Industrial Technology Research Institute.
The delegation will visit Los Angeles and Silicon Valley in the San Francisco Bay Area, the ministry said.
The group hopes to lobby US enterprises in the fields of green energy, photovoltaics, semiconductor and biotechonolgy to make investment in Taiwan, ministry officials said.
NT dollar edges down
The New Taiwan dollar fell against the US currency yesterday, shedding NT$0.022 to close at NT$30.182 on turnover of US$572 million.