Share prices dip 0.26%
Share prices fell 0.26 percent yesterday, dragged down by large-cap electronic stocks and the financial sector, with the benchmark index closing below 7,100 points.
The market opened up 13.11 points and quickly moved to the the day’s high of 7,125.67. However, the TAIEX fell to the day’s low of 7,078.06 before the end of the trading session.
The benchmark index closed down 18.15 points to end at 7,092.58.
Turnover totaled NT$65.02 billion (US$2.15 billion) during the session.
TWSE seeks to build confidence
Taiwan Stock Exchange Corp (TWSE, 台灣證交所) will soon hold a meeting with senior executives from major local companies as part of its efforts to boost investor confidence in the local bourse.
The executives from a total of 12 companies, including Taiwan Semiconductor Manufacturing Co (台積電), Hon Hai Precision Industry Co (鴻海精密), HTC Corp (宏達電) and Asustek Computer Inc (華碩電腦), will provide -confidence--building suggestions at the meeting.
Lenders pushed to loan more
The Financial Supervisory Commission yesterday encouraged domestic lenders to increase loans to small and medium-sized enterprises (SMEs) next year and promised rewards for cooperative banks.
The commission tentatively set the overall goal for SME loans at NT$220 billion next year, up from NT$200 billion this year, according to a statement on its Web site.
The move is the commission’s latest effort to maintain an easy credit environment as global economic uncertainty clouds the nation’s GDP growth outlook. It was also one of the measures announced by the Presidential Office’s economic task force last week to help small businesses access capital during the downturn.
The commission promised to speed up the review of business expansion applications at home and abroad for banks that accommodate the policy.
Yulon predicts good sales
In spite of the unfavorable business sentiment, automaker Yulon Group (裕隆集團) chairman Kenneth Yen (嚴凱泰) said he expected Taiwan’s vehicle sales next year to retain this year’s momentum and hit about 370,000 units.
Yen made the remark on the sidelines of the 19th Taipei International Auto Show, saying that his optimism was based on the automaker’s sales of more than 500 cars just two days into the expo, the Chinese-language Economic Daily News reported yesterday.
He expected that Yulon would sell more than 300 units of its own-brand “Luxgen” vehicle during the nine-day show, the report said.
Yulon’s affiliate, China Motors Corp (中華汽車), recently succeeded in gaining orders from Japan’s Mitsubishi to produce “Lancer” vehicles in Taiwan and would export 1,000 Lancers to Kuwait in the first year.
New deputy governor named
Yen Tzung-ta (嚴宗大), head of the central bank’s economic research department, has been appointed as the bank’s deputy governor for a five-year term beginning on Feb. 15, according to a Presidential Office statement issued on Dec. 13.
Yen, who was also appointed a director on the bank’s board for a three-year term starting on the same date, is to replace Deputy Governor George Chou (周阿定), who will retire in February.
NT dollar dips against US
The New Taiwan dollar fell against its US counterpart yesterday, declining NT$0.012 to close at NT$30.308.
Turnover totaled US$422 million during the trading session.
END TO SPECULATION: The hotel’s management contract has been extended, despite reports that it wanted to end its alliance with Hyatt Hotels over a deal with Riant Capital Singapore-based Hong Leong Hotel Development Ltd (豐隆大飯店股份) yesterday said it has extended a management contract to ensure the continued presence of the Grand Hyatt brand in Taipei, ending rumors that the two sides were parting ways. “We are pleased Hyatt is able to come to terms on the extension of the management contract of Grand Hyatt Taipei,” said Kwek Leng Beng (郭令明), executive chairman of City Developments Ltd (城市發展) and Millennium & Copthorne Hotels Ltd (千禧國敦酒店). Hong Leong Hotel Development is a subsidiary of Millennium, and both fall under the Hong Leong Group (豐隆集團). The Grand Hyatt Taipei (台北君悅大飯店), owned and built by
’WHITE BOX’: The open platform would give local firms access to Cisco’s cloud-based mobile network to develop 5G telecom equipment and tap into the global market The Ministry of Economic Affairs (MOEA) yesterday introduced a new 5G “open lab” in collaboration with US-based information technology and networking giant Cisco Systems Inc to address the rapidly growing “white box” 5G networking equipment market. The open lab will be a platform where Taiwanese manufacturers can access Cisco’s cloud-based mobile network to develop their own 5G telecom equipment, such as small-cell base stations, network switches, modems and Internet of things (IoT) devices, a ministry statement said. The open platform would allow Taiwanese manufacturers to tap into the lucrative 5G telecom equipment market, which was previously monopolized by Nokia Oyj, Ericsson AB
Nintendo Co is raising its target for Switch production to about 25 million units this fiscal year, people familiar with the matter said, as the ongoing COVID-19 pandemic keeps lifting demand and component shortages ease. The Kyoto, Japan-based company, which in April hiked orders to 22 million units by March next year, is asking partners to tack on another few million units, said the people, who did not want to be identified discussing internal goals. Assembly partners plan to work at maximum capacity through December. The new production target suggests that Nintendo is likely to outperform its Switch sales forecast of 19 million
‘BIG LOSS’: This year might see the last generation of Huawei’s Kirin chips, as their production would stop next month because they are made using US technology Chinese tech giant Huawei Technologies Co (華為) is running out of processor chips to make smartphones due to US sanctions and would be forced to stop production of its own most advanced chips, a company executive has said, in a sign of growing damage to Huawei’s business from US pressure. Huawei, one of the biggest producers of smartphones and network equipment, is at the center of US-Chinese tension over technology and security. Washington last year cut off Huawei’s access to US components and technology, and those penalties were tightened in May, when the White House barred vendors worldwide from using US