The Taiwan stock market has experienced an upward trajectory over the last two sessions, gaining over 630 points, or 2.8 percent, in total. The Taiwan Stock Exchange is currently just below the 23,150 mark, and it's anticipated to open stronger on Monday.
The global outlook for Asian markets is favorable, buoyed by positive expectations regarding interest rates. Both European and U.S. markets performed robustly, which is likely to inspire similar strength in Asian markets.
On Friday, the Taiwan Stock Exchange noted a moderate rise, spurred by gains in the plastics and cement industries, while financials and technology stocks presented a mixed performance.
For the day, the index climbed 122.98 points, equating to a 0.53 percent increase, closing at 23,148.08, after fluctuating between 22,905.53 and 23,209.88.
Among the active stocks: Mega Financial decreased by 0.77 percent; CTBC Financial edged up by 0.16 percent; First Financial declined 0.72 percent; E Sun Financial decreased by 0.54 percent; Taiwan Semiconductor Manufacturing Company advanced by 1.36 percent; United Microelectronics Corporation fell 0.84 percent; Largan Precision decreased 1.09 percent; Catcher Technology increased by 0.50 percent; MediaTek dropped 2.05 percent; Delta Electronics improved by 0.84 percent; Novatek Microelectronics rose by 0.20 percent; Formosa Plastics surged by 5.08 percent; Nan Ya Plastics increased by 4.60 percent; Asia Cement gained 1.22 percent, whereas Cathay Financial, Fubon Financial, and Hon Hai Precision remained unchanged.
The lead from Wall Street is decidedly optimistic, with major indices opening strong on Friday and maintaining that momentum to close near their session highs.
The Dow Jones Industrial Average surged by 334.73 points, or 0.78 percent, to 43,487.83. The NASDAQ Composite Index climbed by 291.90 points, or 1.51 percent, ending at 19,630.20. The S&P 500 Index advanced by 59.30 points, or 1.00 percent, concluding at 5,996.66.
For the week, the Dow increased by 3.7 percent, the S&P 500 rose by 2.9 percent, and the NASDAQ advanced by 2.5 percent.
The stock market benefitted from a recent drop in treasury yields, even though the yield on the benchmark ten-year note recovered from early declines to finish relatively stable. This decline in yields followed U.S. inflation data released in recent days, sparking renewed optimism about interest rates.
Further boosting interest rate confidence, Federal Reserve Governor Christopher Waller indicated to CNBC that the central bank might reduce interest rates several times this year if inflation decreases as anticipated.
On the commodities front, crude oil prices decreased significantly on Friday, continuing the sharp downturn initiated in the previous session. West Texas Intermediate for February delivery dropped by $0.80, or 1 percent, to $77.88 per barrel on Friday; although, on a weekly basis, crude experienced an approximate 1 percent gain.
The material has been provided by InstaForex Company -
www.instaforex.com
