Profit-taking pares TAIEX gain
Shares closed 0.19 percent higher yesterday after late profit-taking pared gains made earlier on the back of Wall Street's overnight record performance, dealers said.
The TAIEX added 15.39 points to 8,000.04 but was off a high of 8,052.55 on turnover of NT$96.42 billion (US$2.92 billion).
On the foreign exchange market, the New Taiwan dollar dropped NT$0.024 against the US dollar to close at NT$33.216. Yesterday's turnover was US$970 million at the Taipei Forex Inc.
Bank to study Temasek model
A feasibility study would be conducted on whether to set up a company modeled on Singapore's Temasek Holdings Pte to invest the nation's foreign reserves, said George Chou (周阿定), deputy governor of the nation's central bank.
"We'll study ways to improve our foreign reserve returns, including the Temasek model," Chou said, without elaborating. "There is still a long way to go."
Taiwan has foreign reserves of US$267.5 billion, the central bank reported on April 4.
About US$150 billion of the reserves, or 56 percent, is "hot money" for short-term investment, Chou said. The balance is in longer-term holdings, he said.
Asustek posts increased profit
Asustek Computer Inc (華碩電腦) yesterday reported a 26 percent increase in profits for last year.
Net income rose to NT$19.2 billion (US$578.6 million), or NT$5.43 a share, from NT$15.28 billion, or NT$4.51 a share, a year earlier, the company said.
The company said on Tuesday that it would pay a dividend of NT$2 per share for last year.
‘BIG LOSS’: This year might see the last generation of Huawei’s Kirin chips, as their production would stop next month because they are made using US technology Chinese tech giant Huawei Technologies Co (華為) is running out of processor chips to make smartphones due to US sanctions and would be forced to stop production of its own most advanced chips, a company executive has said, in a sign of growing damage to Huawei’s business from US pressure. Huawei, one of the biggest producers of smartphones and network equipment, is at the center of US-Chinese tension over technology and security. Washington last year cut off Huawei’s access to US components and technology, and those penalties were tightened in May, when the White House barred vendors worldwide from using US
CORPORATE SCANDAL: Cathay Life has invested NT$13.3 billion in Bank Mayapada since 2015, but the latest loss of NT$8.8 billion has completely written off its investment Cathay Life Insurance Co (國泰人壽) yesterday said it would recognize an investment loss of NT$8.8 billion (US$298.1 million) in Indonesia’s Bank Mayapada Internasional Tbk PT due to concerns about the lender’s operations amid a corporate scandal. The company said it would revise its earnings result for June, from a net profit of NT$6.52 billion to a net loss of NT$520 million, its first monthly loss over the past 17 months. After booking an investment loss of NT$5.2 billion in Bank Mayapada earlier this year, Cathay Life has so far recognized total investment losses of NT$14 billion in the lender, executive vice president
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday reported that revenue last month expanded 25 percent annually, but fell 12.8 percent month-on-month to NT$105.96 billion (US$3.59 billion). In the first seven months of this year, the chipmaker’s revenue surged 33.6 percent to NT$727.26 billion, compared with NT$544.46 billion a year earlier. TSMC has said it aims to grow its revenue by more than 20 percent this year. The company has since May 15 stopped taking new orders from Huawei Technologies Co (華為), its second-biggest customer after Apple Inc, due to the US’ restrictions on exports containing US technologies. TSMC has no plans to
The US stock market has been on a tear, yet the country’s economy is in the dumps. So why do so many people believe — undoubtedly incorrectly — that the stock market has decoupled from reality? The economy many people experience, while bleak, is local, personal and, for the most part, either not publicly traded or plays only a small part in the stock market’s moves. To explain why these personal experiences have so little effect on equity markets, we must look more closely at the market role of the weakest industry sectors. The surprising conclusion: The most visible and economically vulnerable