TAIEX gains on auto stocks
The TAIEX ended higher yesterday on gains in construction and automobile stocks, as well as a strong Wall Street rebound last week, dealers said.
The index rose 34.90 points, or 0.40 percent, to end the day at 8,774.72 after moving between 8,772.33 and 8,808.47 on turnover of NT$107.054 billion (US$3.74 billion).
Construction stocks posted the biggest gains of the day, ending up 2.8 percent, while textiles had the biggest losses of the day, ending down 1.1 percent.
Central bank plans CD auction
The central bank will auction NT$100 billion of 364-day certificates of deposit (CD) tomorrow, the bank said in a statement on its Web site yesterday.
Fubon’s China venture approved
Fubon Asset Management Co (富邦投信) received approval from China Securities Regulatory Commission to form a fund management venture with China’s Founder Securities Co (方正證券), parent Financial Holding Holding Co (富邦金控) said in a statement to the Taiwan Stock Exchange yesterday.
The venture, Founder Fubon Fund Management Co (方正富邦基金管理公司), will be based in Beijing and have initial capital of 200 million yuan (US$30.9 million), Fubon Financial said last year.
Canon to build new factory
Canon Inc will build a new local factory and expand an existing one to make more cameras with interchangeable lenses, the fastest growing segment of digital-imaging devices.
Canon, the world’s biggest camera maker, will spend about ￥10 billion (US$124 million) on the expansion, Takafumi Hongo, a company spokesman, said in a telephone interview.
Canon forecasts sales of about 7 million single-lens reflex (SLR) cameras this year, compared with 5.9 million last year, he said.
Shipments of SLR cameras jumped 30 percent last year, more than double the 13 percent gain by compact models, according to the Camera & Imaging Products Association, a Tokyo-based industry group. Canon had the biggest share of the market, with 44.5 percent, research company IDC said in April.
The Nikkei Shimbun reported on Canon’s plan to build the Taiwanese factory earlier yesterday.
External storage market booms
Revenue of the nation’s external storage market grew 40.3 percent year-on-year to US$32.55 million in the first quarter of the year because of emerging demand for cloud computing systems and applications, market tracker International Data Corp (IDC) said yesterday.
Shipments in external storage market also reached 15,925 terabytes during the period, an increase of 66.2 percent from a year earlier, IDC said.
“The surging growth was driven mainly by the enhancement and expansion of existing systems in cloud computing, manufacturing and financial sectors, as well as the establishment of new systems for applications and services of telecom carriers and media operators,” Leon Kao (高振偉), a market analyst with IDC, said in a statement.
In the first three months of this year, the country’s top four external storage providers by revenue were IBM, Hewlett-Packard Co, NetApp Inc and EMC Corp, with a combined total of more than 70 percent market share.
Mid-range products retained the biggest share of the Taiwanese market with 41 percent, followed by entry-level products with 30 percent and high-tier products with 29 percent, IDC said.
NT dollar up against greenback
The New Taiwan dollar rose against the US currency yesterday, adding NT$0.028 to close at NT$28.752. Turnover totaled US$586 million during the trading session.
HEAVY INVESTMENT: Moody’s affirmed the firm’s ‘Aa3’ rating with a ‘stable’ outlook due to its leading position in the industry and ability to match customer requirements Taiwan Semiconductor Manufacturing Co’s (TSMC, 台積電) revenue this year is expected to increase about 21 percent to NT$1.29 trillion (US$44.01 billion) from NT$1.07 trillion last year, driven by strong demand for advanced 5-nanometer and 7-nanometer chips mainly used in smartphones and high-performance computing devices, a Moody’s Investors Service report on Wednesday said. TSMC’s rate of revenue growth next year is to increase to 7.5 percent, the ratings agency said. The company, which supplies 5-nanometer chips for Apple Inc’s new iPad series, has introduced the advanced chips ahead of its competitors and gained a significant share of the market for the foundry industry’s
Shin Kong Financial Holding Co (新光金控) yesterday said that its insurance unit would adjust its investment portfolio after being banned from buying new stocks a day earlier by the Financial Supervisory Commission (FSC). “We will research what we can do based on the commission’s specific instructions after we receive the regulator’s formal documents,” Shin Kong Financial spokesman Sunny Hsu (徐順鋆) told the Taipei Times by telephone. The commission on Tuesday fined Shin Kong Life Insurance Co (新光人壽) NT$27.6 million (US$941,722) for reckless investment, and demanded that the insurer reduce its overseas investment ratio from 43 percent to 39 percent. The fine would affect
Taipei Times: When do you think the hospitality industry can return to how it was before the COVID-19 pandemic? How does Formosa International Hotels Group (FIH, 晶華酒店集團) fare this quarter and beyond? FIH chairman Steve Pan (潘思亮): The virus outbreak will have a serious impact on business travel, driven mainly by meetings, incentive travel, conferences and exhibitions over the past three decades. For the past six months, many businesspeople have grown used to exchanging information on the Internet, where more people can participate. The trend might sustain for three to five years until people are vaccinated and it is safe to
DIGITAL COMMERCE: In 2016, only 2 percent of orders were delivered in Taiwan, but that has risen to 10 percent, Foodpanda Taiwan Co operations director Nick Yu said Online food delivery platforms have seen explosive growth in Taiwan this year, helped by business opportunities related to the COVID-19 pandemic, company executives said at a digital commerce conference in Taipei yesterday. When the threat of COVID-19 kept people from going out to eat, more people experimented with ordering food deliveries online, Foodpanda Taiwan Co Ltd (富胖達) operations director Nick Yu (余岳勳) said. Foodpanda started operations in Taiwan in 2012. “We experienced 5,000 percent growth in the past 24 months,” Yu said. “That’s more than the previous six years combined.” In 2016, only 2 percent of food orders were delivered in Taiwan, but that