Taiwan Stock Market May Head South Again On Thursday

(RTTNews) - The Taiwan stock market rebounded on Wednesday, one day after snapping the two-day winning streak in which it had advanced almost 1,475 points or 3.5 percent. The Taiwan Stock Exchange now sits just above the 47,180-point plateau although it may hand those gains right back again on Thursday.

The global forecast for the Asian markets is negative on surging crude oil prices and the resulting inflation concerns. The European and U.S. markets were firmly in the red and the Asian markets are expected to open in similar fashion.

The TSE finished modestly higher on Wednesday as gains from the energy, petrochemical and transportation sectors were offset by weakness from the financials and technology companies.

For the day, the index added 77.58 points or 0.16 percent to finish at 47,183.36 after trading between 47,060.78 and 47,548.26.

The lead from Wall Street is weak as the major averages opened lower on Wednesday and remained under water throughout the trading day, ending near session lows.

The Dow dropped 405.41 points or 0.77 percent to finish at 52,380.66, while the NASDAQ shed 168.07 points or 0.64 percent to end at 26,253.34 and the S&P 500 fell 37.16 points or 0.48 percent to close at 7,636.36.

The continued weakness on Wall Street came amid an extended surge by the price of crude oil, with international benchmark brent crude futures topping $100 a barrel for the first time since July.

The sharp increase in crude oil prices has led to renewed concerns about the outlook for inflation ahead of the Federal Reserve's monetary policy meeting next week.

Crude oil prices surged on Wednesday as the U.S. and Iran continued to trade attacks, dashing hopes for the reopening of the Strait of Hormuz and renewing inflation concerns. West Texas Intermediate crude for October delivery was up $2.98 or 3.20 percent at $96.01 per barrel.