TAIEX down on ‘fiscal cliff’ fears
The TAIEX lost ground yesterday for a second day in a row amid escalating fears over a pending “fiscal cliff” in the US that could trigger a recession. The weighted index closed down 75.53 points, or 0.99 percent, at 7,519.93, on turnover of NT$78.60 billion (US$2.70 billion).
The bourse will be open today to make up for trading sessions that will be lost during the upcoming extended New Year’s holiday in February.
FSC lays out stimulus plans
The Financial Supervisory Commission (FSC) laid out measures on Thursday to boost the sluggish stock market ahead of its scheduled briefing for Premier Sean Chen (陳冲) on Wednesday. The measures include improving the TAIEX’s momentum, lowering transaction costs, providing more financial products and improving the local bourse’s international profile, FSC Vice Chairwoman Lee Jih-chu (李紀珠) said.
The commission also hoped to improve a cross-strait financial supervisory platform to attract more China-registered companies as well as local companies operating in China to list on Taiwan’s stock market, Lee said. The commission has proposed allowing Taiwan’s securities houses to handle offshore securities units, she added.
Motech no comment on sale
Motech Industries Inc (茂迪), the nation’s biggest solar cell maker, yesterday said it cannot comment on media speculation that its was in talks with Chinese solar wafer maker GCL-Poly Energy Holdings (保利協鑫) to sell a 20 percent stake currently held by Taiwan Semiconductor Manufacturing Co (TSMC, 台積電).
TSMC chairman and CEO Morris Chang (張忠謀) said in August that the chipmaker would sell Motech shares at proper time.
The Chinese online news agency InforTimes said on Thursday that GCL-Poly sought a solar cell partner to tap China’s massive solar cell market totaling 70 gaga watts to 80 gigawatts a year in the future as Beijing was launching measures to boost domestic demand against the international trade disputes.
CAL plans to boost fleet
Taiwan’s largest air carrier, China Airlines (CAL, 中華航空), said yesterday it will buy six new Boeing 777-300ERs to modernize its long-haul wide-body fleet.
The announcement came three days after its decision to lease four passenger aircraft of the same model from GE Capital Aviation Services, which CAL said could boost the operational efficiency of its long-haul, high-capacity routes.
The 10 aircraft are scheduled for delivery in 2014, CAL said, adding that the planes will gradually replace some of its 13 aging and fuel-hungry Boeing 747-400s.
CAL currently operates a fleet of 72 aircraft — 51 passenger jets and 21 freighters. The airline will also acquire 14 A350-900 planes in 2016 to increase its medium-haul transport capacity.
New bullet train arriving
The first of four new bullet trains purchased from Japan will be delivered to Taiwan tomorrow, Taiwan High Speed Rail Corp (THSRC, 台灣高鐵) said yesterday.
The 12-car train is expected to begin service in July after undergoing system testing, the company said. The other three trains will be delivered in early next year, 2014 and 2015 respectively. THSRC currently has 30 trains, each with 12 cars, and it handles an average of 120,000 passengers per day on weekdays and 140,000 on weekends.
NT remains weak against US dollar
The New Taiwan dollar remained weak against the US dollar yesterday, declining NT$0.002 to close at NT$29.122. Turnover totaled about US$637 million during the trading session.