Shares climb 1.25 percent
The TAIEX climbed more than 100 points yesterday to close above 11,000 points, as investors took cues from regional market gains, and set aside rising tensions between Washington and Beijing. The bellwether electronics sector led the upturn, after semiconductor stocks rallied on US markets on Friday last week, dealers said. The TAIEX ended up 136.86 points, or 1.25 percent, at 11,079.02. Turnover totaled NT$166.398 billion (US$5.56 billion) during the session, Taiwan Stock Exchange data showed. Foreign institutional investors bought a net NT$14.50 billion worth of shares on the main board, the exchange said.
CPC lowers LNG prices
CPC Corp, Taiwan (CPC, 台灣中油) yesterday cut prices of liquefied natural gas (LNG) for this month by an average of 10.24 percent on a monthly basis. Effective today, prices of LNG would be reduced by NT$0.86 per cubic meter, which equals a cut of NT$25.8 to NT$38.7 for households based on an average consumption of 30m3 to 45m3, CPC said. Meanwhile, prices of liquefied petroleum gas (LPG), which includes LPG for household use, industrial-use propane, butane and propane-butane mixture, would remain the same as last month, the company said. The price of LPG used in vehicles would also remain unchanged, it said.
HTC plans staff changes
HTC Corp (宏達電) yesterday said that it would make human resources changes after it announced layoffs at the end of last year. The company said that it would continue to optimize its organization, streamline its workforce and reduce operating costs, indirectly confirming market rumors that it would cut jobs again. However, HTC did not specify which department or the number of people who would be affected. The firm said that it believes the move is a necessary step to achieve HTC’s long-term corporate goals, promote continuous innovation, ensure creativity and return maximum value to its shareholders.
Cathay Life to lower rates
Cathay Life Insurance Co (國泰人壽) yesterday said that it would lower the declared interest rates for its New Taiwan dollar-denominated policies to reflect changes in market interest rates, and because it expects reduced investment returns in a low-interest rate environment. Cathay Life said that it has slashed the rates for its 74 NT dollar-denominated products by between 5 basis points and 10 basis points to between 0.48 and 1.9 percent. The company said that it would maintain the rates for its US dollar-denominated policies at between 2.85 and 3 percent.
Electric bikes drive market
Most of the world’s electric vehicles have two or three wheels, and the number of passenger vehicles is not expected to catch up soon, BloombergNEF forecast in its Electric Vehicle Outlook 2020. More than 180 million electric bikes and trikes are in use, and BNEF said that there would be almost 600 million by 2040. China accounts for the bulk of two-wheeler electric vehicles, but sales are growing rapidly in markets such as Taiwan, India and Vietnam. Last week, electric scooter maker Gogoro Inc (睿能創意) unveiled two e-bikes in New York with a starting price of US$3,899. The company plans to start selling the two e-bikes in Taiwan, Europe and the US in the summer.
POOR INTERNAL CONTROLS: Insurance Bureau Director-General Shih Chiung-hwa said the company is expected to get back on track while its chairman is suspended The Financial Supervisory Commission (FSC) yesterday fined Shin Kong Life Insurance Co (新光人壽) NT$27.6 million (US$939,415) for a reckless investment that endangered its solvency, and suspended its chairman Eugene Wu (吳東進) for poor supervision. The penalty is the second-highest in a single case after Nan Shan Life Insurance Co (南山人壽) was fined NT$30 million in September last year and its chairman Du Ying-tzyong (杜英宗) suspended for two years, the commission said. In three rounds of special and regular examinations conducted since last year, the commission found that Shin Kong Life had given too much power to an asset and liability management committee
Continental AG, which makes control units for Daimler AG cars, cannot pursue antitrust claims against a group of patent owners, including Qualcomm Inc, which are seeking royalties on telecommunications technology, a federal judge in Texas ruled. Avanci LLC, a licensing pool formed by Qualcomm, Nokia Oyj, Sharp Corp and other owners of patents on technology standards, is not breaching antitrust laws when it negotiates license agreements with automakers rather than the component makers, Barbara Lynn, chief district judge for the Northern District of Texas, said in dismissing the suit in a decision posted on Friday. The licensing group charges US$15 per vehicle
Sony Corp has cut its estimated Play Station 5 (PS5) production for this fiscal year by 4 million units, down to about 11 million, following production issues with its custom-designed system-on-chip (SOC) for the new console, people familiar with the matter said. The Tokyo-based electronics giant in July boosted orders with suppliers in anticipation of heightened demand for gaming in the holiday season and beyond, as people spend more time at home due to the COVID-19 pandemic. However, the company has come up against manufacturing issues, such as production yields as low as 50 percent for its SOC, which have cut into
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