Taiwan shares end at new high but gains capped before U.S. jobs data

Taipei, Oct. 2 (CNA) Shares in Taiwan closed at a new high Friday, led by the electronics sector after a U.S. tech rally overnight, but the gains were limited amid caution before the U.S. September nonfarm payroll data due later in the day, dealers said.

The Taiex, the Taiwan Stock Exchange's benchmark index, ended up 122.25 points, or 0.25 percent, at 48,475.74 after moving between 48,205.81 and 48,491.62. Turnover totaled NT$898.17 billion (US$28.07 billion).

"Buying was sparked by a rise among semiconductor stocks in the United States overnight after a Fed official's dovish comments," Hua Nan Securities analyst Kevin Su said, referring to Federal Reserve Vice Chair Philip Jefferson, who said the American central bank may be patient about another rate increase after a hike in September.

"However, with TSMC (Taiwan Semiconductor Manufacturing Co.) in consolidation around NT$2,500.00, interest rotated to other semiconductor stocks including smaller ones on the over-the-counter market during the current AI boom," Su said. "Caution also emerged to limit the upturn as investors waited for U.S. job data for clues about the Fed's next move."

The Taiex's semiconductor subindex rose 0.22 percent with TSMC, which accounts for over 40 percent of total market value, unchanged at NT$2,500.00, down from a high of NT$2,515.00. In contrast, the OTC semiconductor subindex rose 2.41 percent.

On the main board, shares in memory chip suppliers Nanya Technology Corp. rose 1.35 percent to end at NT$526.00 and Macronix International Co. closed up 0.83 percent at NT$122.00 after Micron Technology Inc. reported stronger-than-expected earnings on a supply shortage. IC packaging and testing services provider ASE Technology Holding Co. ended up 0.42 percent at NT$713.00.

On the OTC market, the world's third-largest silicon wafer maker GlobalWafers Co. soared 10 percent, the maximum daily increase, to close at NT$1,190.00, while contract chipmaker Vanguard International Semiconductor Corp. ended up 1.36 percent at NT$187.00.

Back on the main board, printed circuit board maker Unimicron Technology Corp. rose 7.41 percent to close at NT$1,305.00 and Yageo Corp., the world's third-largest multi-layer ceramic capacitor producer, ended up 3.99 percent at NT$626.00.

"Stocks outside the tech sector were also largely mixed amid caution ahead of the U.S. job report," Su said. "But, petrochemical stocks outperformed on a spike in international crude oil prices."

With the petrochemical index up 1.73 percent, Formosa Petrochemical Corp. gained 6.16 percent to close at NT$100.00, and Formosa Chemicals & Fibre Corp. ended up 5.91 percent at NT$71.70.

The oil-price-sensitive textile sector also rose 0.65 percent with Shinkong Synthetic Corp. up 2.25 percent to close at NT$24.95 and Far Eastern New Century Corp. up 0.36 percent at NT$28.05.

In the financial sector, which dropped 0.11 percent, Fubon Financial Holding Co. closed unchanged at NT$150.50, while Cathay Financial Holding Co. ended up 0.90 percent at NT$111.50.

According to the Taiwan Stock Exchange, foreign institutional investors bought a net NT$2.62 billion of shares on the main board Friday.