The TAIEX rose for the fifth day in six, led by Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) on expectations the government will help support the market before the Dec. 1 legislative election.
The government "will interfere in the market," said Simon Chao, who manages NT$800 million (US$23 million) in Taiwan equities at President Investment Trust Corp (
The TAIEX advanced 77.57, or 1.7 percent, to 4,533.37, after falling as much as 1.2 percent. Within the index, 257 stocks rose and 229 fell. The total value of trade today was NT$83.8 billion (US$2.4 billion), down 31 percent from yesterday.
There are four government funds that control NT$1.5 trillion in investments: the Labor Retirement Fund, the Postal Savings Fund, the Civil Servant Pension Fund and the Labor Insurance Fund. The government also has a NT$500 billion fund to support the stock market, though it doesn't comment on that fund's trading activities.
Government funds may be buying the largest shares by market value in order to boost the index. Chunghwa Telecom Co (
Formosa Plastics Corp (
Made-to-order chipmakers gained, erasing earlier declines, on expectations their business may improve this quarter.
"Investors should take the opportunity to buy TSMC shares," said Andrew Lu (陸行之), head of regional semiconductor research at Salomon Smith Barney Taiwan Ltd.
TSMC, the biggest made-to-order chipmaker, rose NT$1, or 1.3 percent, to NT$75.50, after earlier falling as much 3.4 percent.
RISK REMAINS: An official said that with the US presidential elections so close, it is unclear if China would hold war games or keep its reaction to angry words The Ministry of National Defense said it was “on alert” as it detected a Chinese aircraft carrier group to Taiwan’s south yesterday amid concerns in Taiwan about the possibility of a new round of Chinese war games. The ministry said in a statement that a Chinese navy group led by the carrier Liaoning had entered waters near the Bashi Channel, which connects the South China Sea and the Pacific Ocean and separates Taiwan from the Philippines. It said the carrier group was expected to enter the Western Pacific. The military is keeping a close watch on developments and “exercising an
FIVE-YEAR WINDOW? A defense institute CEO said a timeline for a potential Chinese invasion was based on expected ‘tough measures’ when Xi Jinping seeks a new term Most Taiwanese are willing to defend the nation against a Chinese attack, but the majority believe Beijing is unlikely to invade within the next five years, a poll showed yesterday. The poll carried out last month was commissioned by the Institute for National Defense and Security Research, a Taipei-based think tank, and released ahead of Double Ten National Day today, when President William Lai (賴清德) is to deliver a speech. China maintains a near-daily military presence around Taiwan and has held three rounds of war games in the past two years. CIA Director William Burns last year said that Chinese President Xi Jinping
RESILIENCE: Once the system is operational, there would be no need to worry about the risks posed by disasters or other emergencies on communication systems, an official said Taiwan would have 24-hour access to low Earth orbit satellites by the end of this month through service provided by Eutelsat OneWeb as part of the nation’s effort to enhance signal resilience, a Chunghwa Telecom Co (中華電信) official said yesterday. Earlier this year the Ministry of Digital Affairs, which partnered with Chunghwa Telecom on a two-year project to boost signal resilience throughout the nation, said it reached a milestone when it made contact with OneWeb’s satellites half of the time. It expects to have the capability to maintain constant contact with the satellites and have nationwide coverage by the end
REACTION TO LAI: A former US official said William Lai took a step toward stability with his National Day speech and the question was how Beijing would respond US Secretary of State Antony Blinken yesterday warned China against taking any “provocative” action on Taiwan after Beijing’s reaction to President William Lai’s (賴清德) speech on Double Ten National Day on Thursday. Blinken, speaking in Laos after an ASEAN East Asia Summit, called the speech by Lai, in which he vowed to “resist annexation,” a “regular exercise.” “China should not use it in any fashion as a pretext for provocative actions,” Blinken told reporters. “On the contrary, we want to reinforce — and many other countries want to reinforce — the imperative of preserving the status quo, and neither party taking any
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