UMC (2303) closed @ 57.00 -0.50 vol 88,129,236 most active (low=53.5)
+++++++++
TAIWAN WEIGHTED closed @ 5351.36 -102.77 (-1.88%)
Day's Range :5168.97 - 5367.65
++++++++
Free float adjustments forecast. MSCI, the global index provider will move to adopt one of the three or four free float adjustments it has been proposing for its world, regional and emerging market indices. All things being equal this would likely raise the MSCI Taiwan Index's weighting in regional and emerging market indices by several percentage points. Firms such as UMC (2303), Nan Ya Plastics (1303), Formosa Plastics (1301) and China Development (2804) would be seen as having their weightings within the MSCI Taiwan Index increase by over 20%, while the weightings of TSMC (2330), Hon Hai (2317) and Asustek (2357) would decrease by 4%, according to MSDW and today's local press. Free floats are a separate issue from the rebalancing of the MSCI Taiwan Index on November 30.
+++++++++
BUY: United Microelectronics Corp. (2303.TW) - price NT$57.00. The blue-chip semiconductor maker is expected to post strong earnings growth next year, while its stock is now trading at low valuation, given the recent declines in the bourse. A long-term buy.
++++++
"It was a lot of factors," said one dealer at a foreign bank in Taipei. "Political uncertainties and the Nasdaq all contributed to the fall."
The market opened the session down 4% and continued falling more than 5.2%, but government funds came on to the bourse and helped pull it off the early lows, dealers said.
+++++++++++
Morgan Stanley Capital International Inc. made no changes to its Singapore Index |
