Tax worries weigh on TAIEX
The TAIEX came under pressure yesterday as concerns over a proposed capital gains tax on stock and futures investments continued weighing on market sentiment, dealers said.
Fears over a slowing economy in the US and lingering debt problems in the eurozone also cast shadows over the market throughout the session, they added.
The TAIEX closed down 115.54 points, or 1.52 percent, at 7,507.15, after moving between 7,507.15 and 7,605.22 on turnover of NT$79.07 billion (US$2.68 billion).
Metal casing maker Catcher Technology Co (可成科技) fell 7 percent to NT$185 amid speculation that the company could lose orders from Apple Inc as the US firm will use liquid metal casings, instead of the aluminum and magnesium housings the company provides, on its new version of the iPhone.
Touch panel manufacturer TPK Holding Co (宸鴻) also fell 7 percent to close at NT$388, while Hon Hai Precision Industry Co (鴻海精密), which assembles the iPhone and iPad, closed down 2.37 percent at NT$103.
Shanghai delegation inks deal
A business delegation from Shanghai signed a deal in Pingtung yesterday to purchase NT$40 million (US$1.36 million) of agricultural products.
Under the procurement contracts, three Shanghai distributors are buying products such as processed livestock, poultry, eggs and fresh fruit supplied by seven companies, said Wang Xinping (王新平), a vice chairman of the Shanghai Municipal Commission of Commerce.
Wang also expressed the hope that Taiwan’s farming and livestock industries would set up production, processing and marketing bases in suburban Shanghai in the future.
Hon Hai ranked 156 in world
Hon Hai Precision Industry Co (鴻海精密) was ranked as the 156th-largest company in the world and the No. 1 in Taiwan on Forbes Global 2000 list this year.
Hon Hai, the world’s largest contract electronics maker, was estimated by Forbes to have a market value of US$37.8 billion. Taiwan Semiconductor Manufacturing Co (台積電), the world’s largest contract chipmaker, was listed in 284th place.
A total of 136 Chinese companies made it onto the list, while the US had 524 and Japan 258.
HTC faces Apple in court battle
HTC Corp (宏達電) told a London court on Thursday that the use of touchscreen technology, including the “slide-to-unlock” icon, on its smartphones does not infringe Apple Inc’s patents.
HTC is disputing four Apple patents on zooming in and scrolling between photos, multiple touches on the same screen, unlocking phones and the use of various character sets when sending text messages.
The two companies are suing over patents in British, German and Dutch courts as they battle for a share of the international smartphone market. If HTC wins in London and invalidates Apple’s patents, it could use the UK judgement to help prove during the German trial that it is not infringing Apple’s European patents.
Euro gives boost to NT dollar
The NT dollar rose against the US dollar yesterday, adding NT$0.011 to close at NT$29.521 as traders responded to a rising euro following a smooth bond auction in Spain overnight, dealers said.
However, turnover remained thin as many traders stayed on the sidelines, waiting for more economic data from Washington to get a clearer picture of the global economy amid mixed US indicators, they said. Turnover totaled US$455 million