The Taiwan stock market has experienced gains for two consecutive sessions, accumulating an increase of over 150 points, or 0.7%. Currently, the Taiwan Stock Exchange (TSE) stands just below 23,060 points, with predictions indicating further gains on Tuesday. The global outlook for Asian markets suggests minimal movement ahead of the key U.S. employment data expected later this week. Both European and U.S. markets concluded slightly higher, and it is anticipated that Asian markets will follow a similar trend.
On Monday, the TSE recorded modest gains, with mixed performances across financial shares, technology stocks, and cement companies. The index increased by 26.32 points, or 0.11%, ending the session at 23,058.57, after fluctuating between 23,015.17 and 23,187.88. Key performers included Cathay Financial, which rose by 1.93%; Mega Financial, up by 0.87%; and E Sun Financial, which increased by 0.70%. Taiwan Semiconductor Manufacturing Company saw a slight rise of 0.21%, while United Microelectronics Corporation surged 2.15%. Hon Hai Precision climbed 0.93%, and Largan Precision fell by 1.64%. Other notable movements included Catcher Technology's drop of 1.94%, MediaTek's increase of 1.07%, Delta Electronics' rise of 0.77%, and Novatek Microelectronics' impressive gain of 2.31%. Formosa Plastics and Nan Ya Plastics saw minor declines of 0.52% and 0.51% respectively, Asia Cement gained 0.80%, and CTBC Financial and Fubon Financial remained unchanged.
Wall Street's outlook is cautiously optimistic, with markets opening slightly higher on Monday and maintaining a narrow range before closing in positive territory. The Dow Jones Industrial Average added 50.66 points, or 0.13%, to close at 39,169.52. The NASDAQ Composite rallied, gaining 146.70 points, or 0.83%, to end at 17,879.30. The S&P 500 increased by 14.61 points, or 0.27%, finishing at 5,475.09.
Monday's subdued performance on Wall Street can be attributed to traders anticipating the Labor Department's monthly jobs report on Friday. This report is expected to indicate a slowdown in job growth for June, potentially influencing interest rate forecasts. Additionally, traders are likely holding off on major moves ahead of Federal Reserve Chair Jerome Powell’s remarks on Tuesday and the Independence Day holiday on Thursday.
On the economic front, the Institute for Supply Management reported that U.S. manufacturing activity unexpectedly contracted at a slightly faster rate in June. Meanwhile, the Commerce Department noted a slight decrease in U.S. construction spending in May.
In the energy sector, oil prices surged on Monday due to expectations of increased demand, supply concerns, and production cuts by OPEC. West Texas Intermediate Crude oil futures rose by $1.84, or approximately 2.2%, settling at $83.38 per barrel.
