Taiwan Stock Market Expected To Open In The Green

(RTTNews) - The Taiwan stock market has moved higher in four straight sessions, rallying more than 700 points or 3 percent along the way. The Taiwan Stock Exchange now sits just beneath the 24,160-point plateau and it may see additional support again on Wednesday.

The global forecast for the Asian markets is upbeat on an improved outlook for interest rates. The European markets were mixed and the U.S. bourses were up and the Asian markets figure to follow the latter lead.

The STI finished barely higher on Tuesday following gains from the plastics and mixed performances from the financial shares and technology stocks.

For the day, the index perked 22.86 points or 0.09 percent to finish at 24,158.36 after trading between 24,065.43 and 24,263.92.

Among the actives, Mega Financial rallied 1.59 percent, while CTBC Financial fell 0.32 percent, First Financial climbed 1.06 percent, Fubon Financial collected 0.58 percent, E Sun Financial perked 0.15 percent, United Microelectronics Corporation added 0.62 percent, Hon Hai Precision shed 0.51 percent, Largan Precision sank 0.83 percent, Catcher Technology stumbled 2.14 percent, MediaTek gained 0.37 percent, Delta Electronics improved 0.63 percent, Novatek Microelectronics rose 0.23 percent, Formosa Plastics surged 3.25 percent, Nan Ya Plastics soared 3.89 percent, Asia Cement lost 0.63 percent and Cathay Financial and Taiwan Semiconductor Manufacturing Company were unchanged.

The lead from Wall Street is firm as the major averages opened higher and continued to accelerate as the day progressed, ending near session highs.

The Dow surged 483.52 points or 1.10 percent to finish at 44,458.61, while the NASDAQ rallied 296.50 points or 1.39 percent to close at a record 21,681.90 and the S&P 500 climbed 72.31 points or 1.13 percent to end at 6,445.76, also a record.

The strength on Wall Street followed the release of the Labor Department's closely watched report on consumer price inflation for July, which was in line with expectations.

Despite the faster than expected annual core price growth, traders seem to believe the data increases the chances the Federal Reserve will lower interest rates next month.

Following the release of the report, CME Group's FedWatch Tool is indicating a 94.4 percent chance the Fed will cut rates by a quarter point in September.

Crude oil prices slumped on Tuesday ahead of an upcoming meeting between the U.S. and Russian presidents on Friday in Alaska. West Texas Intermediate crude for September delivery was down $0.88 or 1.38 percent at $63.08 per barrel.