Taiwan Shares Tipped To Open In The Green On Tuesday

(RTTNews) - The Taiwan stock market has alternated between positive and negative finishes through the last six trading days since the end of the eight-day winning streak in which it had surged more than 1,450 points or 5.8 percent. The Taiwan Stock Exchange now sits just above the 25,880-point plateau and it may see additional support on Tuesday. The global forecast for the Asian markets continued to be mildly positive on optimism over the outlook for interest rates. The European markets were mixed and the U.S. bourses were up and the Asian markets figure to split the difference. The TSE finished sharply higher on Monday following gains from the financial shares, technology stocks, plastics and cement companies. For the day, the index jumped 302.23 points or 1.18 percent to finish at 25,880.60 after trading between 25,599.60 and 25,887.69. Among the actives, Cathay Financial perked 0.17 percent, while Mega Financial fell 0.36 percent, First Financial collected 0.34 percent, Fubon Financial was up 0.16 percent, Taiwan Semiconductor Manufacturing Company soared 2.37 percent, United Microelectronics Corporation shed 0.46 percent, Hon Hai Precision advanced 0.93 percent, Largan Precision improved 0.85 percent, Catcher Technology gained 0.53 percent, MediaTek tanked 2.43 percent, Delta Electronics rallied 2.14 percent, Novatek Microelectronics stumbled 2.68 percent, Formosa Plastics added 0.65 percent, Nan Ya Plastics soared 3.31 percent, Asia Cement jumped 1.79 percent and CTBC Financial and E Sun Financial were unchanged. The lead from Wall Street is mildly positive as the major averages opened in the red on Monday but quickly bounced higher and continued to trend that way throughout the session, ending near daily highs.

The Dow added 66.27 points or 0.14 percent to finish at 46,381.54, while the NASDAQ jumped 157.50 points or 0.70 percent to close at 22,788.98 and the S&P 500 gained 29.39 points or 0.44 percent to end at 6,693.75.

Profit taking contributed to the initial weakness on Wall Street, with some traders looking to cash in on the recent strength in the markets.

Selling pressure waned shortly after the start of trading, however, as traders remain optimistic about the outlook for the markets amid expectations of further interest rate cuts by the Federal Reserve.

After cutting rates by a quarter point last Wednesday, the Fed is widely expected to lower rates by another quarter at each of its next two meetings in October and December.

Crude oil was little changed on Monday amid lingering oversupply concerns after OPEC agreed earlier this month to boost production starting in October. West Texas Intermediate crude for October delivery was up $0.05 or 0.08 percent at $62.73 per barrel. Closer to home, Taiwan will release August numbers for export orders later today; in July, orders jumped 15.2 percent on year.