(RTTNews) – The Taiwan stock market has moved higher in two of three trading days since the end of the three-day losing streak in which it had stumbled more than 150 points or 1 percent. The Taiwan Stock Exchange now sits just above the 16,150-point plateau although it may tick lower again on Friday.
The global forecast for the Asian markets is mixed to lower as many of the regional bourses have been overbought in the rally leading up to U.S. President Joe Biden’s inauguration, so profit taking may be in order. The European markets were down and the U.S. markets were mixed and the Asian bourses figure to split the difference.
The TSE finished sharply higher on Thursday following sharp gains from the technology stocks, weakness from the cement companies and a mixed picture from the financials.
For the day, the index surged 347.59 points or 2.20 percent to finish at 16,153.77 after trading between 15,775.73 and 16,238.46.
Among the actives, CTBC Financial collected 0.26 percent, while E Sun Financial fell 0.20 percent, Taiwan Semiconductor Manufacturing Company spiked 4.02 percent, United Microelectronics Corporation accelerated 3.65 percent, Hon Hai Precision jumped 2.18 percent, Largan Precision climbed 1.25 percent, Catcher Technology advanced 1.00 percent, MediaTek surged 7.11 percent, Formosa Plastic slid 0.22 percent, Asia Cement dropped 0.97 percent, Taiwan Cement lost 0.37 percent and Cathay Financial, Mega Financial, Fubon Financial and First Financial were unchanged.
The lead from Wall Street offers little clarity as stocks were lackluster on Thursday, bouncing back and forth across the unchanged line before finishing mixed and little changed.
The Dow dipped 12.37 points or 0.04 percent to finish at 31,176.01, while the NASDAQ climbed 73.67 points or 0.55 percent to end at 13,530.92 and the S&P 500 rose 1.22 points or 0.03 percent to close at 3,853.07.
The choppy trading on Wall Street came as traders expressed some uncertainty about the near-term outlook for the markets, which may be overbought following the run to record highs.
Optimism about ramped up efforts to combat the coronavirus under new President Joe Biden have also helped to prop up the markets, including the possibility of more stimulus.
In economic news, the Labor Department reported a pullback in initial jobless claims last week. The Commerce Department also released a report showing new residential construction in the U.S. jumped by more than expected in December.
Crude oil prices drifted lower on Thursday after data from the American Petroleum Institute showed an increase in U.S. crude stockpiles last week. West Texas Intermediate Crude oil futures for March ended down $0.18 or 0.3 percent at $53.13 a barrel.
Closer to home, Taiwan will provide December figures for unemployment later today; in November, the jobless rate was 3.77 percent.