Taiwan News
Date: 2016-07-14
By: Frances Huang, Central News Agency
Taipei, July 14 (CNA) Shares in Taiwan closed slightly higher Thursday, recovering from an early drop, as buying rotated to select old economy and financial stocks, dealers said.
However, the bellwether electronics sector moved in a slow session as investors locked in their gains from recent sessions amid cautious sentiment during the current earnings season at home and on Wall Street, dealers said. The weighted index on the Taiwan Stock Exchange ended up 8.61 points, or 0.1 percent, at 8,866.36, after moving between 8,818.26 and 8,877.31. Turnover totaled NT$83.32 billion (US$2.6 billion) during the session.
The market opened down 0.23 percent on a mild technical correction and selling escalated, pushing the index to the day’s low, after the Down Jones Industrial Average and the S&P 500 index edged up to new highs overnight, dealers said. After an initial decline on the local main board, bargain hunters turned active, picking up non-high tech stocks in the financial and steel sectors in particular, dealers said. The buying helped cushion the pressure on the electronics sector and boosted the index into positive territory by the close, dealers said. “Wall Street has already recovered from the Brexit vote and has been repeatedly smashing records so valuations in the U.S. market have been high,” Mega International Investment Services Corp. analyst Alex Huang said. [FULL STORY]