Taiwan dollar gains on stocks, exporter deals

* Exporters take advantage of recent currency weakness

* Taiwan dollar range-bound as investors wait

TAIPEI, Nov 4 - The Taiwan dollar rose on Wednesday after falling in the past two sessions, due to gains in local stocks and U.S. dollar selling by exporters taking advantage of the recently weakened rates.

After opening weaker, the Taiwan dollar <TWD=TP> quickly rebounded as local stocks <.TWII> gained more than 1 percent, led by financial shares.

Exporters took advantage of the recently weakened Taiwan dollar to exchange U.S. dollar earnings into more of the local currency for cash needs at home, dealers said.

"Stocks heated up, while exporters came out to buy Taiwan dollars, looking for the right price," a dealer in Taipei said.

On Tuesday, foreign institutions sold a net T$10 billion ($307 million) of Taiwan stocks and it was unclear whether the outflow would reverse on Wednesday, dealers said.

The local currency is expected to trade in a boxed range between T$32.5 and T$32.6 as a series of meetings of major world central banks keep investors on the sidelines, dealers said.

0145 GMT PREVIOUS SESSION T$ (Taipei Forex Inc) 32.540 32.575 (close) Volume in $ mln (Taipei Forex Inc) 44 36 T$ (Cosmos) 32.540 32.560 (close) Six-month NDFs <PNDF> -0.670/-0.630 -0.670/-0.630 Note: Taipei Forex Inc is Taiwan's main forex exchange; Cosmos is a smaller exchange. Both exchanges end trading at 0800 GMT Source: NDFs quotations from Prebon Asia For more foreign exchange news, please click [nTOPFRX]