Taiwan Shares May Bounce Higher Again On Tuesday

(RTTNews) - The Taiwan stock market on Monday ended the four-day winning streak in which it had accelerated almost 850 points or 3.9 percent. The Taiwan Stock Exchange now sits just above the 22,250-point plateau although it's expected to rebound on Tuesday.

The global forecast for the Asian markets is mixed to higher on trade deal optimism. The European markets were down and the U.S. bourses were up and the Asian markets figure to follow the latter lead.

The TSE finished sharply lower on Monday following losses from the technology stocks and plastics companies, while the financial sector was mixed.

For the day, the index tumbled 324.06 points or 1.44 percent to finish at the daily low of 22,256.02 after peaking at 22,558.95.

Among the actives, Cathay Financial tumbled 1.96 percent, while Mega Financial fell 0.24 percent, First Financial collected 0.52 percent, Fubon Financial rose 0.32 percent, E Sun Financial shed 0.45 percent, Taiwan Semiconductor Manufacturing Company stumbled 1.85 percent, United Microelectronics Corporation dipped 0.23 percent, Hon Hai Precision tanked 2.42 percent, Largan Precision advanced 0.85 percent, Catcher Technology lost 0.47 percent, MediaTek surrendered 2.72 percent, Delta Electronics slumped 2.59 percent, Novatek Microelectronics climbed 1.11 percent, Formosa Plastics skidded 1.13 percent, Nan Ya Plastics plunged 2.85 percent, Asia Cement sank 1.27 percent and CTBC Financial was unchanged.

The lead from Wall Street is positive as the major averages opened higher and remained in the green throughout the session, ending near daily highs.

The Dow jumped 275.50 points or 0.63 percent to finish at 44,094.77, while the NASDAQ climbed 96.28 points or 0.47 percent to close at 20,369.73 and the S&P 500 gained 31,88 points or 0.52 percent to end at 6,204.95.

The continued strength on Wall Street came amid ongoing optimism about trade deals ahead of the impending deadline for U.S. reciprocal tariffs early next month.

Positive sentiment was also generated in reaction to news Canada has rescinded its digital services tax on American tech firms, which were initially set to begin being collected on Monday.

Crude oil prices closed lower on Monday amid a backdrop of easing Middle Eastern tensions and concerns of excess supply as OPEC plans to scale up production. West Texas Intermediate crude for August delivery closed down by $0.41 to settle at $65.11 per barrel.