tw mkt 0226

14:13 26Feb09 RTRS-Compal leads Taiwan stocks to 1-week closing high * Compal leads tech shares higher after upbeat Q2 outlook * Financials down despite report of gov't injection plan * Auto stocks jump on China hope (Adds details and quote) TAIPEI, Feb 26 (Reuters) - Taiwan stocks rose 0.55 percent on Thursday to a one-week closing high, led by contract laptop maker Compal Electronics <2324.tw> after it gave an upbeat assessment on its prospects for the second quarter. The main TAIEX share index <.TWII> ended up 24.82 points at 4,518.56, its strongest close since Feb. 19 and extending a 1.4 percent gain in the previous session. Turnover was light at T$58.8 billion ($1.7 billion), down from Wednesday's T$71 billion. Compal Electronics, the world's second-largest contract laptop PC maker, rose 2.63 percent after issuing an upbeat outlook for the second quarter, as clients stock up from depressed inventory levels. [ID:nTP366447] "Compal's shipment and growth now seem to be better than Quanta," said Andrew Deng, a vice president of Taiwan International Securities, but added the likelihood it would rise further was limited. Compal's larger rival Quanta <2382.tw> rose 0.84 percent while the computer and peripherals sub-index <.TCPI> gained 1.49 percent. Semiconductor shares shrugged off a statement by research firm Gartner that said global semiconductor revenue, hit by the economic downturn, is expected to fall 24 percent to $194.5 billion in 2009. [ID:nLP825363] The world's top contract chip maker, TSMC <2330.tw> , was up 0.67 percent, lifting the broader semiconductor sub-index <.TSII> 0.89 percent higher. However, the financial sub-index <.TFNI> ended down 0.74 percent, surrendering early gains as investors took profits from its 4 percent jump in the previous session. The Financial Supervisory Commission is considering a plan for the government to inject cash or buy shares of banks to ensure the stability of the financial system, a local newspaper said on Thursday. "Despite the positive news, most investors including foreign institutions remained pessimistic about the outlook for local financial companies. Any rise of their shares will likely be short-lived," said Deng. Cathay Financial <2882.tw>, the island's top listed financial holding firm, lost 2.23 percent. Shin Kong Financial <2888.tw>, parent of the island's No.3 life insurer, fell 0.13 percent ahead of its fourth-quarter investor conference later on Thursday. HOT STOCKS -- The automobile sub-index <.TAUI>, the biggest winner of the day, jumped 3.04 percent, boosted by Chinese government's $732 million subsidy programme that aimed to aid purchases of autos in rural areas. [ID:nSHA366726] Shares of
[Story not fully loaded, incomplete text]