By: Frances Huang
Taipei, March 24 (CNA) Shares in Taiwan staged a strong rebound Tuesday from a plunge the previous session, with market sentiment boosted by the U.S. Federal Reserve launching limitless quantitative easing and the hope that a massive stimulus package to combat the coronavirus COVID contagion will pass the U.S. Senate, dealers said.
Buying in large cap stocks increased across the board as bargain hunters turned active, while government-led funds apparently took advantage of the improved mood to enter the market, helping the main board close up almost 400 points to pass the 9,200 point level, they said.
The weighted index on the Taiwan Stock Exchange (TWSE) or the Taiex ended up 395.59 points, or 4.45 percent, at 9,285.62, after moving between 9,083.78 and 9,415.64, on turnover of NT$153.39 billion (US$5.06 billion).
The market opened up 2.18 percent in a reaction to significant gains posted by Dow Jones Industrial Average futures, which soared more than 4 percent at one point, on the back of the Fed's announcement of unlimited purchases of bonds and mortgage-backed securities from the market, which is expected to pump large funds into the equity markets, dealers said. [FULL STORY]