■ Stocks rise once more
Shares rose for the third straight session yesterday, led by gains in contract chipmakers. The TAIEX rose 32 points, or 0.5 percent, to 6,453.85. The index has risen 1.4 percent since last Thursday. "Since the contract chipmakers are index heavyweights, their gains had a significant effect on the index and market sentiment," said Bill Huang, a trader at KGI Securities Co (中信證券). Taiwan Semiconductor Manu-facturing Co (台積電), the largest company on the main board by market capitalization, rose 1.8 percent to NT$61.4. Rival United Microelectronics Corp (聯電) gained 0.8 percent to NT$19.5. Hon Hai Precision Industry Co (鴻海精密), the world's largest contract electronics maker by revenue, rose 2.4 percent to NT$194. The company said late on Monday that it made an additional investment of US$17.8 million in Hongzhun Precision Tooling, a wholly owned computer component unit in Kunshan, China.
■ Auction boosts currency bonds
The nation's currency bonds rose for a fourth day after a government auction of new 10-year securities attracted demand from long-term investors. The Ministry of Finance sold NT$40 billion (US$1.2 billion) of 10-year bonds yesterday at a yield of 1.773 percent, below the yield of existing securities. The ministry last Thursday said it would sell NT$115 billion of debt in the second quarter, 15 percent more than it sold in the same period last year. "Investors bought existing 10-year bonds for long-term investment although the market focus was on the new debt sale," said Tobby Lin, a fixed-income trader at Yuanta Core Pacific Securities Co (元大京華證券). The yield on the benchmark 10-year bond fell 0.1 basis points, or 0.001 percentage points, to close at 1.804 percent, according to the GRETAI Securities Market, the nation's biggest exchange for bonds. The ministry plans to auction NT$40 billion in five-year bonds on April 11.
■ AUO secures project funds
AU Optronics Corp (友達光電), the world's No. 3 maker of liquid-crystal screens, hired banks for a US$300 million loan to expand production in China, said two people who were involved in the deal. ABN Amro Holding NV, Bank of Tokyo-Mitsubishi UFJ Ltd, HSBC Holdings Plc and Standard Chartered Plc are arranging the loan, said a banker involved and a company official, who both declined to be named. The seven-year financing is the longest-tenure foreign-currency loan yet for AU Optronics. The company is borrowing to expand a plant in Suzhou, Jiangsu Province, and build a new assembly facility in Xiamen.
■ Quanta Display to sell shares
Quanta Display Inc (廣輝電子), a joint venture between Quanta Computer Inc (廣達電腦) and Japan's Sharp Corp, said its board approved plans to sell as many as 800 million new shares to raise funds. Quanta Display, a flat-panel display maker, plans to raise up to NT$8 billion selling the new shares at a tentative price of NT$10 a share, the company said in a statement to the Taiwan Stock Exchange on Monday. The company may sell the new shares overseas in the form of depositary receipts, or through a private placement, the statement said.
■ NT dollar drops slightly
The New Taiwan dollar lost ground against the US dollar on the Taipei foreign exchange market yesterday, declining NT$0.007 to close at NT$32.577. Turnover was US$697 million.
DIVIDED VIEWS: Although the Fed agreed on holding rates steady, some officials see no rate cuts for this year, while 10 policymakers foresee two or more cuts There are a lot of unknowns about the outlook for the economy and interest rates, but US Federal Reserve Chair Jerome Powell signaled at least one thing seems certain: Higher prices are coming. Fed policymakers voted unanimously to hold interest rates steady at a range of 4.25 percent to 4.50 percent for a fourth straight meeting on Wednesday, as they await clarity on whether tariffs would leave a one-time or more lasting mark on inflation. Powell said it is still unclear how much of the bill would fall on the shoulders of consumers, but he expects to learn more about tariffs
NOT JUSTIFIED: The bank’s governor said there would only be a rate cut if inflation falls below 1.5% and economic conditions deteriorate, which have not been detected The central bank yesterday kept its key interest rates unchanged for a fifth consecutive quarter, aligning with market expectations, while slightly lowering its inflation outlook amid signs of cooling price pressures. The move came after the US Federal Reserve held rates steady overnight, despite pressure from US President Donald Trump to cut borrowing costs. Central bank board members unanimously voted to maintain the discount rate at 2 percent, the secured loan rate at 2.375 percent and the overnight lending rate at 4.25 percent. “We consider the policy decision appropriate, although it suggests tightening leaning after factoring in slackening inflation and stable GDP growth,”
Greek tourism student Katerina quit within a month of starting work at a five-star hotel in Halkidiki, one of the country’s top destinations, because she said conditions were so dire. Beyond the bad pay, the 22-year-old said that her working and living conditions were “miserable and unacceptable.” Millions holiday in Greece every year, but its vital tourism industry is finding it harder and harder to recruit Greeks to look after them. “I was asked to work in any department of the hotel where there was a need, from service to cleaning,” said Katerina, a tourism and marketing student, who would
i Gasoline and diesel prices at fuel stations are this week to rise NT$0.1 per liter, as tensions in the Middle East pushed crude oil prices higher last week, CPC Corp, Taiwan (台灣中油) and Formosa Petrochemical Corp (台塑石化) said yesterday. International crude oil prices last week rose for the third consecutive week due to an escalating conflict between Israel and Iran, as the market is concerned that the situation in the Middle East might affect crude oil supply, CPC and Formosa said in separate statements. Front-month Brent crude oil futures — the international oil benchmark — rose 3.75 percent to settle at US$77.01
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