Markets

Lower Open Expected For Taiwan Stock Market

(RTTNews) - The Taiwan stock market has tracked lower in consecutive trading days, giving away almost 160 points or 1.5 percent along the way. The Taiwan Stock Exchange now rests just beneath the 11,490-point plateau and it's expected to open under pressure again on Monday.

The global forecast for the Asian markets is negative thanks to unrest in Hong Kong and how it may delay any resolution in the trade spat between the United States and China. The European and U.S. markets were down on Friday and the Asian bourses are tipped to open in similar fashion.

The TSE finished sharply lower on Friday following losses from the financial shares, cement companies and technology stocks.

For the day, the index skidded 127.51 points or 1.10 percent to finish at 11,489.57 after trading between 11,485.16 and 11,623.59.

Among the actives, Cathay Financial sank 1.53 percent, while Mega Financial shed 1.14 percent, CTBC Financial fell 0.46 percent, Fubon Financial declined 1.32 percent, First Financial eased 0.22 percent, E Sun Financial was down 0.37 percent, Taiwan Semiconductor Manufacturing Company and Hon Hai Precision both skidded 1.45 percent, United Microelectronics Corporation dropped 0.99 percent, Largan Precision retreated 1.11 percent, Catcher Technology plunged 3.29 percent, MediaTek tumbled 2.32 percent, Asia Cement lost 1.73 percent, Taiwan Cement slid 1.43 percent and Formosa Plastic sank 1.12 percent.

The lead from Wall Street is soft as stocks gave ground in Friday's shortened session retreating from Wednesday's record closing highs.

The Dow shed 112.59 points or 0.40 percent to 28,051.41, while the NASDAQ lost 39.70 points or 0.46 percent to 8,665.47 and the S&P 500 fell 12.65 points or 0.40 percent to 3,140.98. For the week, the NASDAQ surged 1.7 percent, the S&P jumped 1 percent and the Dow rose 0.6 percent.

The weakness on Wall Street came as traders cashed in on recent gains amid concerns rising tensions between the U.S. and China over the situation in Hong Kong could impact ongoing trade talks.

After President Donald Trump signed two bills in support of pro-democracy protesters in Hong Kong, a spokesman for China's Foreign Ministry threatened strong countermeasures.

After moving higher in the two previous sessions, crude oil prices showed a substantial pullback on Friday on rising tensions between the U.S. and China. Crude for January delivery plunged $2.94 or 5.1 percent to $55.17 a barrel, ending at its lowest closing level in a month.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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