Consolidation Expected For Taiwan Stock Market On Tuesday

(RTTNews) - The Taiwan stock market has finished higher in four straight sessions, improving almost 770 points or 5.3 percent along the way. The Taiwan Stock Exchange now rests just beneath the 14,720-point plateau although it's due for profit taking on Tuesday.

The global forecast for the Asian markets is mixed to lower, with profit taking expected amid concerns over the outlook for interest rates. The European markets were up and the U.S. bourses were down, and the Asian markets are tipped to trend generally lower as well.

The TSE finished sharply higher on Monday following gains from the financial shares, technology stocks and cement and plastics companies.

For the day, the index climbed 169.02 points or 1.16 percent to finish at the daily high of 14,719.64 after moving as low as 14,589.10.

Among the actives, Cathay Financial spiked 2.38 percent, while Mega Financial collected 0.74 percent, CTBC Financial accelerated 2.29 percent, Fubon Financial surged 4.01 percent, First Financial strengthened 1.42 percent, E Sun Financial soared 2.94 percent, Taiwan Semiconductor Manufacturing Company added 0.61 percent, United Microelectronics Corporation rallied 2.70 percent, Catcher Technology climbed 1.19 percent, MediaTek jumped 2.01 percent, Formosa Plastics gained 1.62 percent, Nan Ya Plastics perked 0.48 percent, Asia Cement improved 2.21 percent, Taiwan Cement rose 0.49 percent and Hon Hai Precision, Largan Precision and Delta Electronics were unchanged.

The lead from Wall Street ends up negative as the major averages couldn't hold on to early gains, sinking as the day progressed to close firmly in the red.

The Dow tumbled 215.65 points or 0.69 percent to finish at 31,072.61, while the NASDAQ sank 92.37 points or 0.81 percent to end at 11,360.05 and the S&P 500 lost 32.31 points or 0.84 percent to close at 3,830.85.

The early strength on Wall Street came as traders continued to pick up stocks at reduced levels, while positive sentiment was also generated in reaction to upbeat earnings news from Goldman Sachs (GS) and others.

Buying interest waned over the course of the session, however, as traders continued to worry about the economic outlook ahead of next week's Federal Reserve meeting.

In U.S. economic news, the National Association of Home Builders released a report showing a substantial deterioration in U.S. homebuilder confidence in the month of July.

Crude oil prices rose sharply Monday with traders assessing crude supply levels amid concerns over gas supply from Russia. A weak dollar also contributed significantly to the jump in oil prices. West Texas Intermediate crude oil futures for August ended higher by $5.01 or 5.1 percent at $102.60 a barrel.