Taiwan shares end up as TSMC rebounds ahead of sales report

Taipei, Nov. 10 (CNA) Shares in Taiwan closed higher Monday with contract chipmaker Taiwan Semiconductor Manufacturing Co. (TSMC) attracting strong buying ahead of its October sales report, dealers said.

The Taiex, the weighted index on the Taiwan Stock Exchange (TWSE), ended up 218.10 points, or 0.79 percent, at 27,869.51 after moving between 27,680.51 and 27,976.89. Turnover totaled NT$489.45 billion (US$15.82 billion).

After falling 0.34 percent Friday, TSMC, the most heavily weighted local stock, staged a rebound, rising 1.03 percent to close at NT$1,475.00 Monday, contributing about 120 points to the Taiex's rise and sending the electronics index up 1.17 percent.

"In the current artificial intelligence boom, many investors are betting TSMC will report impressive October sales today so they resumed buying in the stock," Moore Securities Investment Consulting analyst Adam Lin said.

After the market closed, TSMC reported a new monthly high of NT$367.47 billion in consolidated sales in October due to solid global demand for AI applications.

In addition to TSMC, Lin said, other AI-related large caps also steamed ahead, lending more support to the Taiex, with iPhone assembler and AI server maker Hon Hai Precision Industry Co., second to TSMC in market value, up 2.25 percent to end at NT$249.50.

Delta Electronics Inc., a power management solutions supplier to AI devices, rose 1.76 percent to close at NT$982.00.

Also in the tech sector, shares in Quanta Computer Inc., another AI server supplier, rose 1.57 percent to end at NT$291.50, and printed circuit board maker Gold Circuit Electronics Ltd. gained 3.77 percent to close at NT$482.00.

In addition, memory chip supplier Nanya Technology Corp. soared 10 percent, the maximum daily increase, to end at NT$161.50 on a global supply shortage.

"The nontech sector was mixed, when these electronics heavyweights were under spotlight," Lin said.

Food brand Uni-President Enterprises Corp. lost 1.18 percent to close at NT$75.50, and cooking oil supplier Great Wall Enterprise Co. fell 1.30 percent to end at NT$53.00.

Meanwhile, container cargo shipper Evergreen Marine Corp. shed 2.41 percent to close at NT$182.50, and rival Yang Ming Marine Transport Corp. ended down 2.39 percent at NT$53.00.

Formosa Plastics Corp. rose 1.04 percent to close at NT$39.00, and Nan Ya Plastics Corp. added 1.65 percent to end at NT$43.25.

In the financial sector, which added only 0.19 percent, Fubon Financial Holding Co. rose 0.11 percent to close at NT$90.60, and Cathay Financial Holding Co. ended up 0.47 percent at NT$63.80.

"Today's gains vaulted the Taiex past the 20-day average of 27,750 points, making the main board technically healthier," Lin said, "But, many investors are still watching whether the U.S. government will end the shutdown soon," Lin said.

According to the TWSE, foreign institutional investors sold a net NT$5.29 billion worth of shares on the main board Monday.