Rebound Anticipated For Taiwan Stock Market

(RTTNews) - The Taiwan stock market on Wednesday snapped the three-day winning streak in which it had jumped almost 950 points or 3.1 percent. The Taiwan Stock Exchange now sits just shy of the 31,250-point plateau although it's likely to bounce higher again on Thursday. The global forecast for the Asian markets is cautiously optimistic and fairly fluid in light of U.S. demands to acquire Greenland. The European markets were mixed and the U.S. bourses were up and the Asian markets figure to follow that lead.

The TSE finished sharply lower on Wednesday following losses from the financial shares, technology stocks and plastics companies. For the day, the index plunged 513.62 points or 1.62 percent to finish at 31,246.37 after trading between 31,200.76 and 31,749.14. Among the actives, Cathay Financial skidded 1.17 percent, while Mega Financial lost 0.50 percent, CTBC Financial sank 0.78 percent, Fubon Financial dropped 1.06 percent, E Sun Financial collected 0.76 percent, Taiwan Semiconductor Manufacturing Company surrendered 1.97 percent, United Microelectronics Corporation advanced 0.88 percent, Hon Hai Precision tumbled 2.01 percent, Largan Precision gained 0.41 percent, Catcher Technology shed 0.49 percent, MediaTek slumped 1.35 percent, Delta Electronics added 0.44 percent, Novatek Microelectronics stumbled 3.70 percent, Formosa Plastics declined 1.30 percent, Nan Ya Plastics tanked 3.53 percent and Asia Cement retreated 1.39 percent.

The lead from Wall Street is positive as the major averages opened higher on Wednesday and stayed in the green throughout the session, although not without volatility.

The Dow jumped 588.64 points or 1.21 percent to finish at 49,077.23, while the NASDAQ rallied 270.50 points or 1.18 percent to end at 23,224.82 and the S&P 500 climbed 87.76 points or 1.16 percent to close at 6,875.62.

The volatility on Wall Street came as traders reacted to President Donald Trump's latest remarks about his efforts to take control of Greenland.

Early buying interest was generated in reaction to Trump's speech at the World Economic Forum in Davos, Switzerland, where he ruled out the use of military force to take control of Greenland.

However, buying interest waned over the course of the morning amid lingering concerns about trade between the U.S. and Europe due to the dispute. But buying interest returned when Trump said he would not go forward with the tariffs he threatened to impose on several European nations

Crude oil posted incremental gains on Wednesday as traders assessed Trump's speech at the World Economic Forum, where he sought negotiations on the U.S. bid to acquire Greenland. West Texas Intermediate crude for March delivery was up $0.10 or 0.17 percent at $60.46 per barrel.