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Thursday, April 9, 2009
twn stock 0409
14:18 09Apr09 RTRS-UMC, China hopes boost Taiwan stocks to 6-mth high * Market posts best one-day rise in four months * UMC soars after monthly sales drop eased * Financial issues jump ahead of legislative vote * Tourism shares surge on report of gov't programme (Adds details and quotes) By Gina Chang TAIPEI, April 9 (Reuters) - Taiwan stocks rose 4.12 percent on Thursday, their best percentage gain in four months, to a more than six-month closing high, with chip maker UMC <2303.tw> leading techs up after the decline in its March sales slowed. Financial and tourism shares also jumped on hopes that warming ties with China could boost business. The main TAIEX share index <.TWII> closed up 224.24 points at 5,667.80, its best finish since Oct. 3 and its biggest single-day gain since Dec 10. Turnover was active at T$144.8 billion ($4.3 billion), but lower than Wednesday's T$150.3 billion. The electronics sub-index <.TELI> jumped 4 percent, led by UMC <2303.tw> , the world's No. 2 contract chip maker, which surged by its 7 percent daily limit. The drop in UMC's March sales eased from the prior two months as the downturn in the sector bottoms out. [ID:nTP268331] "UMC's March sales and news that it might swing to profit this year helped fuel gains in its shares today," said Alex Huang, a vice president of Mega International Securities. "The worst is over for UMC and its share price is set to jump." UMC's larger rival, TSMC <2330.tw> , was up 4.38 percent ahead of announcing its March and first-quarter sales on Friday. TSMC said on Thursday it had started adding hundreds of staff at its research and development department and 12-inch wafer facilities, showing further signs of a possible sector turnaround. [nTP325504] Acer Inc <2353.tw>, the world's third-largest computer maker, jumped 6.09 percent after giving an upbeat outlook for the current quarter. [ID:nTP267622] The tourism sub-index <.THOI> advanced 5.37 percent as Taiwan's government launched a four-year programme that aimed to raise T$30 billion to help promote local tourism. Shares of hotel operator Formosa Hotel <2707.tw> ended limit-up and rival Leofoo Development Co <2705.tw> rose 5.21 percent. The financial sub-index <.TFNI>, the day's top winner, jumped 5.6 percent, rebounding from a 5.5 percent slump a day earlier. Foreign investors became net sellers of financial shares in the past two days ahead of a legislative vote on lowering the cap on credit card interest rates, a local newspaper reported. "Investors were too pessimistic yesterday about the cap. I don't think the cap on rates will have that much serious impact on banks," said Huang. Cathay Financial <2882.tw>, the island's top listed financial holding firm, ended limit-up while Chinatrust Financial <2891.tw>, Taiwan's No.1 credit card issuer, rose 2.12 percent. Financial shares could still lead the market higher following a recent pull-back on investor hopes of an expected signing of a financial agreement with China later this year, analysts said. However, the broader market might take a breather after its recent rallies on concerns local companies could announce gloomy first-quarter results throughout this month. HOT STOCKS -- DRAM chip maker Nanya Tech <2408.tw> rose 5.76 percent after two sources said the firm and its technology partner Micron and their Inotera <3474.tw> joint venture would hold a media briefing on Thursday to discuss government-led industry restructuring. [nTP262310] -- Quanta Computer <2382.tw>, the world's largest contract laptop PC maker, rose 2.48 percent despite missing its first-quarter shipment target by 2 percent. [ID:nTP283575] --------------------TAIEX IN PERSPECTIVE-------------------- Move on day 4.12 percent Close on day 5,667.80 2009 intraday high 5,667.80 2009 intraday low 4,164.19 All time high 12,682.41 12 FEB 1990 ------------------------------------------------------------ For a table of foreign trading in Taiwan stocks, double-click on [ID:nTP170358] (US$1=T$33.8) ((gina.chang@thomsonreuters.com; +886 2 2508-0815; Reuters Messaging:gina.chang.thomsonreuters.com@reuters.com)) ((If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com)) ASIA-PACIFIC STOCK MARKETS: Pan-Asia......[STXNEWS/AS] Japan........[.T] S.Korea....[.KS] S.E. Asia............[.SO] Hong Kong...[.HK] Taiwan.....[.TW] Australia/NZ.........[.AX] India.......[.BO] China......[.SS] OTHER MARKETS: Wall Street...........[.N] Gold.........[GOL/] Currency..[FRX/] Eurostocks...........[.EU] Oil...........[O/R] JP bonds...[JP/] ADR Report..........[ADR/] LME metals..[MET/L] US bonds...[US/] Stocks News US...[STXNEWS/US] Stocks News Europe...[STXNEWS/EU] DIARIES & DATA: IPO diary & data Asia earnings diary [ASIA/EQTY] U.S. earnings diary [RESF/US] European diary [WEU/EQTY] Taiwan diary [TW/DIARY] Wall Street Week Ahead [.N/O] Eurostocks Week Ahead [.EU/O] World forecasts TOP NEWS: For top Asian company news, double click on: [nTOPEQA] U.S. company news [TOP/EQU] European company news [TOP/EQE] Forex news [TOP/FRX] Global Economy news [TOP/MACRO] Technology news [TOP/TECH] Telecoms news [TOP/TELCO] Media news [TOP/MEDIA] Banking news [TOP/FIN] Politics/General news [TOP/G] Asia Macro data A multimedia version of Reuters Top News is available at: http://topnews.session.rservices.com LIVE PRICES & DATA: World Stocks <0#.index> Currency rates Dow Jones/NASDAQ <.DJI> <.IXIC> Nikkei <.N225> FTSE 100 <.FTSE> Debt <0#usbmk=> Taiwan dollar LME price overview TAIWAN MARKET: Taiwan equity mkt TAIEX <.TWII><.TV.TW> Other indices <0#.inx.tw> TAISDAQ <.TWOII><.TV.TWO> TAIMEX Taiwan index futures <0#tx:> MSCI Taiwan index <.MSTW> SIMEX Taiwan index futures <0#stw:> FTSE TW50
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