The nation’s money supply measures last month advanced significantly from a year earlier, reflecting a sharp increase in interest on the part of domestic and foreign investors in the local stock market, the central bank said yesterday.
The M1B money supply jumped 12.85 percent from a year earlier, the fastest gain since July 2010, while M2 rose 7.05 percent, the bank said.
M1B refers to cash and equivalents, while M2 includes savings deposits, time savings deposits, foreign currency deposits and M1B.
Photo: Reuters
The increase in M1B came after local retail investors shifted money away from time deposits to demand deposits, the central bank said.
Demand deposits soared by 13.79 percent year-on-year, the fastest increase since May 2010, to a record NT$18.9 trillion (US$655.5 billion), it said.
It is common for local investors to park their money in demand deposits before making an investment in local shares.
Securities accounts saw inflows of NT$34.1 billion to NT$2.5 trillion last month, even though the US presidential elections drove some global players to the sidelines, the central bank said.
Margin loans rose to NT$209.1 billion, the highest since October 2018, reflecting an increase in leveraging, it said.
Retail investors accounted for 61.5 percent of the market, while foreign institutional participants made up 28.8 percent, the central bank said.
Last month also saw an influx of foreign capital valued at US$2.06 billion to buy local shares, especially tech names, as Taiwanese companies pay relatively high dividends compared with their global peers, it said.
Local electronics suppliers reported strong earnings this year due to a boom in demand for devices and solutions used in remote working and schooling arrangements amid the COVID-19 pandemic, the central bank added.
purpose: Tesla’s CEO sought to meet senior Chinese officials to discuss the rollout of its ‘full self-driving’ software in China and approval to transfer data they had collected Tesla Inc CEO Elon Musk arrived in Beijing yesterday on an unannounced visit, where he is expected to meet senior officials to discuss the rollout of "full self-driving" (FSD) software and permission to transfer data overseas, according to a person with knowledge of the matter. Chinese state media reported that he met Premier Li Qiang (李強) in Beijing, during which Li told Musk that Tesla's development in China could be regarded as a successful example of US-China economic and trade cooperation. Musk confirmed his meeting with the premier yesterday with a post on social media platform X. "Honored to meet with Premier Li
ARTIFICIAL INTELLIGENCE: The chipmaker last month raised its capital spending by 28 percent for this year to NT$32 billion from a previous estimate of NT$25 billion Contract chipmaker Powerchip Semiconductor Manufacturing Corp (力積電子) yesterday launched a new 12-inch fab, tapping into advanced chip-on-wafer-on-substrate (CoWoS) packaging technology to support rising demand for artificial intelligence (AI) devices. Powerchip is to offer interposers, one of three parts in CoWoS packaging technology, with shipments scheduled for the second half of this year, Powerchip chairman Frank Huang (黃崇仁) told reporters on the sidelines of a fab inauguration ceremony in the Tongluo Science Park (銅鑼科學園區) in Miaoli County yesterday. “We are working with customers to supply CoWoS-related business, utilizing part of this new fab’s capacity,” Huang said, adding that Powerchip intended to bridge
Dutch brewing company Heineken NV on Friday announced an investment of NT$13.5 billion (US$414.62 million) over the next five years in Taiwan. The first multinational brewing company to operate in Taiwan, Heineken made the statement at a ceremony held at its brewery in Pingtung County. It also outlined its efforts to make the brewery “net zero” by 2030. Heineken has been in the Taiwanese market for 20 years, Heineken Taiwan managing director Jeff Wu (吳建甫) said. With strong support from local consumers, the Dutch brewery decided to transition from sales to manufacturing in the country, Wu said. Heineken assumed majority ownership and management rights
Microsoft Corp yesterday said that it would create Thailand’s first data center region to boost cloud and artificial intelligence (AI) infrastructure, promising AI training to more than 100,000 people to develop tech. Bangkok is a key economic player in Southeast Asia, but it has lagged behind Indonesia and Singapore when it comes to the tech industry. Thailand has an “incredible opportunity to build a digital-first, AI-powered future,” Microsoft chairman and chief executive officer Satya Nadella said at an event in Bangkok. Data center regions are physical locations that store computing infrastructure, allowing secure and reliable access to cloud platforms. The global embrace of AI