(RTTNews) - The Taiwan stock market has finished lower in back-to-back sessions, stumbling more than 640 points or 2.3 percent in that span. The Taiwan Stock Exchange now sits just beneath the 27,720-point plateau although it may stop the bleeding on Thursday.
The global forecast for the Asian markets is upbeat on bargain hunting and positive data. The European and U.S. markets were up and the Asian bourses are expected to open in similar fashion.
The TSE finished sharply lower on Wednesday following losses from the technology stocks and plastics companies, while the financial sector offered support.
For the day, the index retreated 399.50 points or 1.42 percent to finish at 27,717.06 after trading between 27,373.05 and 27,799.09.
Among the actives, Mega Financial collected 0.37 percent, while First Financial added 0.53 percent, Fubon Financial stumbled 2.05 percent, Taiwan Semiconductor Manufacturing Company tanked 2.99 percent, United Microelectronics Corporation and Novatek Microelectronics both shed 0.63 percent, Hon Hai Precision improved 1.23 percent, Largan Precision lost 0.68 percent, Catcher Technology rallied 2.55 percent, MediaTek climbed 1.14 percent, Delta Electronics dropped 0.82 percent, Formosa Plastics tumbled 2.12 percent, Nan Ya Plastics sank 0.85 percent, Asia Cement added 0.42 percent and Cathay Financial, CTBC Financial and E Sun Financial were unchanged.
The lead from Wall Street is solid as the major averages opened barely on Wednesday in the red but quickly accelerated into the green and stayed there for the balance of the day.
The Dow jumped 225.76 points or 0.48 percent to finish at 47,311.00, while the NASDAQ rallied 151.16 points or 0.65 percent to end at 23,499.80 and the S&P 500 gained 24.74 points or 0.37 percent to close at 6,796.29.
The strength for most of the day came as some traders looked to pick up stocks at reduced levels following the steep drop on Tuesday, which reflected concerns about valuations.
Positive sentiment may also have been generated by some upbeat U.S. economic data, including a report from payroll processor ADP showing private sector employment in the U.S. rebounded by more than expected in October.
Also, the Institute for Supply Management released a report showing U.S. service sector activity returned to expansion in October.
Crude oil prices fell on Wednesday as concerns about excess supply and lower demand compelled investors to refrain from big moves. West Texas Intermediate crude for December delivery was down $0.92 or 1.52 percent at $59.64 per barrel.
Closer to home, Taiwan will provide October data for consumer prices later today; in September, inflation was up 0.11 percent on month and 1.25 percent on year.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
