Taiwan stocks rises

07 Sep, 2010

Taiwan stocks finished up 0.78 percent on Monday at a nearly two-week closing high, led by Apple Inc's iPhone and iPad suppliers including Wintek Corp, on hopes of rising demand for the popular devices. But Hon Hai Precision Industry Co shed 2.7 percent to a nearly seven-week closing low after the component maker's chairman cut the long-term sales target for the group.
The group will halve its long-term sales growth target to 15 percent annually, its chairman was reported as saying, with strong demand for iPhones and iPads unlikely to offset slowing PC sales. Shares of Foxconn International, another unit of the group, erased an earlier loss to trade 2.2 percent higher at about 540 GMT in Hong Kong.
"This is more of a Hon Hai specific situation, not an industry-wide problem," said Robin Hsu, a fund manager at Capital Securities Investment Trust. "Hon Hai has gotten too big for its sales to continue the 30 percent growth annually." The main TAIEX index ended up 60.74 points at 7,890.95, its highest since August 24, with the electronics sub-index 0.65 percent higher. Turnover was active at T$127.7 billion ($4 billion).

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