Renewed Consolidation Likely For Taiwan Shares

(RTTNews) - The Taiwan stock market rebounded on Tuesday, one day after ending the four-day winning streak in which it had accelerated almost 850 points or 3.9 percent. The Taiwan Stock Exchange now sits just above the 22,550-point plateau although it's expected to head south again on Wednesday.

The global forecast for the Asian markets is mixed to lower, with support from the oil companies offsetting weakness among the technology shares. The European and U.S. markets were mixed and the Asian bourses figure to follow that lead.

The TSE finished sharply higher on Tuesday following gains from the financial shares, technology stocks and plastics companies.

For the day, the index spiked 297.70 points or 1.34 percent to finish at 22,553.72 after trading between 22,401.58 and 22,730.76.

Among the actives, Cathay Financial perked 0.17 percent, while Mega Financial collected 1.22 percent, CTBC Financial added 0.69 percent, First Financial gained 0.52 percent, Fubon Financial plummeted 4.70 percent, E Sun Financial rose 0.61 percent, Taiwan Semiconductor Manufacturing Company rallied 2.36 percent, United Microelectronics Corporation sank 0.57 percent, Hon Hai Precision accelerated 2.80 percent, Largan Precision retreated 1.47 percent, Catcher Technology improved 1.18 percent, MediaTek jumped 2.00 percent, Delta Electronics soared 3.63 percent, Novatek Microelectronics dropped 0.92 percent, Formosa Plastics spiked 2.15 percent, Nan Ya Plastics climbed 1.10 percent and Asia Cement strengthened 1.64 percent.

The lead from Wall Street provides little clarity as the major averages opened mixed on Tuesday and finished in the same fashion.

The Dow rallied 400.17 points or 0.91 percent to finish at 44,494.94, while the NASDAQ tumbled 166.85 points or 0.82 percent to end at 20,202.89 and the S&P 500 slipped 6.94 points or 0.11 percent to close at 6,198.01.

The mixed performance on Wall Street came following the strong performance seen in recent sessions, which saw the NASDAQ and the S&P 500 reach new record highs.

Traders also kept an eye on developments in Washington, D.C., where the Senate narrowly voted to approve President Donald Trump's massive tax cuts and spending bill.

On the U.S. economic front, the Institute for Supply Management noted a modest increase by its reading on U.S. manufacturing activity in June. Also, the Labor Department saw an unexpected increase by job openings in the U.S. in May.

Crude oil rose modestly on Tuesday as attention shifts to the OPEC cartel's supposed plans to increase output even as the Middle East remains uneventful. West Texas Intermediate crude for August delivery traded at $65.40 per barrel, up $0.29 or 0.45 percent.