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Taiwan stocks up for 5th day as tech shares rise

Published: 14 Apr 2009 18:55:44 PST

* Market hits near 7-month high as tech shares rise

* Financial shares track losses in U.S. peers

TAIPEI, April 15 - Taiwan stocks rose 0.05 percent on Wednesday, gaining for a fifth session, as Intel Corp's <INTC.O> better-than-expected results boosted tech shares such as UMC <2303.TW>, but losses in financial issues curbed the gain.

Sentiment was lifted after Intel posted better-than-expected first-quarter results and said the worst was over for the battered tech sector. [ID:nN14455703]

The computer and peripheral sub-index <.TCPI> rose 1.14 percent and the electronics sub-index <.TELI> was up 0.35 percent.

UMC <UMC.N>, the world's No.2 contract chipmaker, rose 2.56 percent but larger rival TSMC <2330.TW> <TSM.N> was down 1.14 percent.

"Intel's comment echoed those of other local tech firms, indicating there is still demand for tech products," said Michael On, a managing director of Beyond Asset Management.

DRAM shares rose on continued hopes that production cuts could gradually help struggling chipmakers.

Powerchip <5346.TWO>, the island's biggest DRAM maker, rose 4.45 percent. Smaller rivals Nanya Tech <2408.TW> and ProMOS <5387.TWO> gained 0.81 percent and 2.17 percent, respectively.

Taiwan Memory Co (TMC), the government-led chip company that has sought up to NT$30 billion ($892 million) in state funds, may need less than that and will apply for the funds by the end of April, a government official said on Tuesday. [ID:nTP99146]

Amtran Technology <2489.TW>, maker of Vizio brand flat-screen TVs, rose 2.79 percent after saying it aimed to ship 5 million TVs globally this year, 25 percent higher than its previous estimate, driven by robust demand in the United States, its key market. [ID:nTP116414]

However, financial shares were hit after U.S. peers slid overnight on fears that more banks would follow Goldman Sachs' <GS.N> share offer to raise cash.

The banking and insurance sub-index <.TFNI> fell 0.9 percent, with Cathay Financial <2882.TW>, Taiwan's top-listed financial holding firm, 1.4 percent lower.

"A pull-back on Wall Street pressured the market. Financial shares also took a breather after previous gains," said On.

For a table of foreign trading in Taiwan stocks, double-click on [ID:nTP170358]

(US$1=T$33.7)