Taiwan shares to continue consolidating

17 Oct, 2005

Taiwan share prices are expected to continue consolidating on cautious sentiment this week after the index fell below the 6,000 point psychological level this week, analysts said.
Foreign investors are likely to further expatriate their funds out of the island, while locals could remain sidelined amid concerns over profits for the bellwether high technology sector, they said.
For the week ending October 14, the weighted price index shed 112.77 points or 1.85 percent to 5,969.07, after a 0.6 percent fall in the previous week.
The market is expected to move in the 5,900-6,100 point range this week.
Average daily turnover was reduced to 64.48 billion Taiwan dollars (1.92 billion US) during the week from 81.54 billion dollars previously.
"Falling below the 6,000 point mark has impacted on investor sentiment.
"Many prefer to keep cash in their pockets, waiting for a clear sign before re-entering the market," said Huang Hsun-hui of Capital Securities.

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