Taiwan Stock Market May Add To Its Winnings On Wednesday

(RTTNews) - The Taiwan stock market on Tuesday ended the two-day losing streak in which it had plummeted almost 900 points or 4.4 percent. The Taiwan Stock Exchange now sits just beneath the 19,600-point plateau and it may see additional support on Wednesday.

The global forecast for the Asian markets is upbeat on optimism over earnings season. The European and U.S. markets were solidly higher and the Asian bourses are expected to open in similar fashion.

The TSE finished sharply higher on Tuesday following gains from the financial shares and cement stocks, while the technology companies were mixed and the plastics were soft.

For the day, the index rallied 188.06 points or 0.97 percent to finish at 19,599.28 after trading between 19,509.74 and 19,709.00.

Among the actives, Cathay Financial increased 0.72 percent, while Mega Financial improved 1.27 percent, CTBC Financial collected 0.64 percent, First Financial perked 0.18 percent, Fubon Financial was up 0.15 percent, E Sun Financial rose 0.55 percent, Taiwan Semiconductor Manufacturing Company rallied 1.62 percent, United Microelectronics Corporation shed 0.41 percent, Hon Hai Precision added 0.70 percent, Catcher Technology and Largan Precision both climbed 1.18 percent, MediaTek gained 0.62 percent, Delta Electronics dropped 0.83 percent, Novatek Microelectronics strengthened 1.57 percent, Formosa Plastics slumped 0.86 percent, Nan Ya Plastics skidded 1.05 percent, Asia Cement gathered 0.47 percent, Taiwan Cement sank 0.77 percent and China Steel advanced 0.61 percent.

The lead from Wall Street is positive as the major averages opened higher on Tuesday and remained well in the green throughout the trading day.

The Dow jumped 263.71 points or 0.69 percent to finish at 38,503.69, while the NASDAQ spiked 245.33 points or 1.59 percent to end at 15,696.64 and the S&P 500 rallied 59.95 points or 1.20 percent to close at 5,070.55.

Quarterly earnings guided the markets, with Globe Life, GE Aerospace, Kimberly-Clark and General Motors advancing on strong results.

In economic news, the Commerce Department reported that new home sales jumped more than expected in March, although building permits slumped.

Traders await more economic data this week, including the release of first-quarter U.S. GDP data as well as the core personal-consumption expenditures (PCE) price index, which is the Fed's preferred measure of inflation.

Oil prices moved higher on Tuesday after data showed a slowdown in U.S. manufacturing activity in April, raising hopes the Federal Reserve will start cutting interest rates soon. West Texas Intermediate crude oil futures for June rose $1.46 or 1.78 percent at $83.36 a barrel.