Taiwan share prices are seen steady in the week ahead pending forecasts from several heavyweight companies to set tone for the market, dealers said. US Federal Reserve Chairman Alan Greenspan's congressional testimony which provided some reassurance on the US economic outlook and "measured pace" of interest rate hikes should also support the market, they added.
"This week is critical for the share prices to reach the new height of 6,267 points with electronics the main attraction," said Alex Huang, an analyst at Barits International Securities.
Taiwan Semiconductor Manufacturing Co (TSMC), the world's leading made-to-order microchip maker, will go ex-dividend on June 13 after raising its estimates for shipments, utilisation rate and gross margin for the three months to June.
Meanwhile, Hon Hai, one of the world's leading electronics manufacturing service providers, is among several big-name companies to unveil their outlooks on the market during this week's investor conferences.
"In particular, Hon Hai's look on the bourse will definitely affect the sentiment as its forecasts in the past two years were known to be quite accurate," Huang said.
Foreign investors are likely to keep buying encouraged by the Taiwan market's recent gains and even smaller individual investors will feel the pressure to pick up, he said. For the week to June 10, the weighted price index gained 84.40 points or 1.38 percent to 6,107.95, following a 1.94 percent gain the previous week.
Average daily turnover stood at 85.98 billion Taiwan dollars (2.75 billion US), up from 81.08 billion dollars a week earlier.
Comments
Comments are closed.