The New Taiwan dollar recorded its biggest weekly gain in six months as better-than-expected earnings from companies including Hon Hai Precision Industry Co (鴻海精密) drew overseas investors to domestic stocks.
The local currency was the best performer in Asia this week as funds abroad bought more shares than they sold for the four days through yesterday, driving the benchmark TAIEX to a five-month high.
The NT dollar showed little reaction in late trading yesterday to news that prosecutors had indicted President Chen Shui-bian's (
"Foreign investors, seeing the stock market is pretty good, put a lot of money into Taiwan," said Tarcisio Tong, a currency trader at Union Bank of Taiwan (聯邦銀行).
The NT dollar rose 1.1 percent this week to close at NT$32.92 against the US dollar, the biggest weekly rally since the five days up through April 28, according to Taipei Forex Inc. Turnover rose to US$1.32 billion from US$1 billion in the previous day.
The local currency had its strongest close since Sept. 21.
Tong said the NT dollar would likely move between NT$32.75 and NT$32.95 next week.
Foreign investors purchased a net NT$5.95 billion (US$181 million) of equities yesterday, Taiwan Stock Exchange data show.
Hon Hai Precision, the nation's largest electronics maker, reported record profit in the third quarter. China Steel Corp (中鋼), the nation's largest steelmaker, said pretax profit almost doubled. Nanya Technology Corp (南亞 科技), the nation's second-largest maker of computer memory chips, on Thursday reported that sales last month rose 51 percent from a year earlier.
The local currency also gained support from the strong demand in the non-deliverable forward contract market ahead of the release of US employment figures, traders said.
Contract chipmaker United Microelectronics Corp (UMC, 聯電) yesterday said it has signed a memorandum of understanding (MOU) with Polar Semiconductor LLC to collaborate on the production of 8-inch wafers in the US. The collaboration aims to strengthen 8-inch wafer manufacturing in the US amid Washington’s efforts to increase onshore manufacturing of semiconductors, contribute to supply chain resilience against shifting geopolitical dynamics, and ensure a secure domestic supply of power semiconductors critical to automotive, electric grids, robotic manufacturing and data centers, the companies said in a joint statement. Under the MOU, Polar and UMC will identify devices for Polar to manufacture at
TARIFF TALKS: The US secretary of commerce is eyeing more than US$300 billion in investments and said Taiwan would train US workers, but Taipei has denied the latter US Secretary of Commerce Howard Lutnick said the US is expecting a large investment pledge from Taiwan in trade talks, while President William Lai (賴清德) listed areas that need improvement in order for projects to be completed. “We’re in the midst of discussions,” Lutnick said on Wednesday. “But the fact is, this administration’s goal is to bring semiconductor manufacturing to America.” Lai on Wednesday said Taiwan is supportive of US President Donald Trump’s goal of reindustrializing the US, including efforts to ramp up semiconductor production. Such a goal would require the US to reduce its reliance on Taiwan as a key source
The demise of the coal industry left the US’ Appalachian region in tatters, with lost jobs, spoiled water and countless kilometers of abandoned underground mines. Now entrepreneurs are eyeing the rural region with ambitious visions to rebuild its economy by converting old mines into solar power systems and data centers that could help fuel the increasing power demands of the artificial intelligence (AI) boom. One such project is underway by a non-profit team calling itself Energy DELTA (Discovery, Education, Learning and Technology Accelerator) Lab, which is looking to develop energy sources on about 26,305 hectares of old coal land in
Netflix on Friday faced fierce criticism over its blockbuster deal to acquire Warner Bros Discovery. The streaming giant is already viewed as a pariah in some Hollywood circles, largely due to its reluctance to release content in theaters and its disruption of traditional industry practices. As Netflix emerged as the likely winning bidder for Warner Bros — the studio behind Casablanca, the Harry Potter movies and Friends — Hollywood’s elite launched an aggressive campaign against the acquisition. Titanic director James Cameron called the buyout a “disaster,” while a group of prominent producers are lobbying US Congress to oppose the deal,
RSS