Taiwan stocks fell, led by Winbond Electronics Corp (
Investors sold companies that make DRAM chips after a report in a local Chinese-language newspaper said Winbond plans to close one of its four chip plants that's operating below capacity. Winbond spokesman Mike Liu (劉重光) would not confirm or deny the report.
"The trend is against the DRAM players," said Pedro Tai, who manages US$150 million in stocks at HSBC Asset Management Taiwan. "Probably one or two will remain, but it could be very difficult if the economic downturn lasts longer."
The TWSE Index fell 26.20, or 0.7 percent, to 3874.42.
Within the index, 261 stocks fell, and 161 rose. The total value of trade was NT$47.9 billion (US$1.4 billion), 3 percent higher than the six-month daily average of NT$46.3 billion.
Computer-memory-chip makers fell after the newspaper reported Winbond plans to close a chip plant and move its 200 hundred workers to other plants. Winbond fell US$0.70, or 5.8 percent, to NT$11.35.
Mosel Vitelic Inc (
Nanya Technology Corp (
Acer Sertek Inc (宏科) fell US$0.80, or 2.9 percent, to NT$26.60. The computer distribution and services unit of Acer Inc (宏電) cut its 2001 profit forecast by 53 percent to NT$385 million after it made a loss from investments in the stock market and business continued to slow. Acer fell US$0.45, or 4 percent, to NT$10.80.
China Steel Corp (中鋼) went down US$0.05, or 0.4 percent, to NT$13.15.
The US International Trade Commission yesterday ruled that US steelmakers are threatened by imports of steel, which may prompt Washington to impose quotas or raise tariffs on foreign makers.
"China Steel will be significantly impacted by US
action," said Cecilia Liu, an analyst at CLSA Ltd in Taiwan.
"That would increase competition in the region as all the Asian steelmakers will compete with each other selling products in Asia."
Chinatrust Commercial Bank (
First Commercial Bank (
Taiwan's third-biggest lender by market value may include Polaris Securities Co (
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