Taiwan stocks rebound; Apple suppliers lead

Thu Mar 17, 2011 10:17pm EDT

Related Topics

 * Shares of Apple supply chain rise
 * Hotels, real estate top winners
 * Index seen testing 8,600 pts next week
 (Adds comments, hot stocks)
 TAIPEI, March 18 (Reuters) - Taiwan stocks rose 0.74
percent on Friday, tracking gains in regional bourses, with
Hon Hai Precision (2317.TW) and other Apple Inc (AAPL.O)
suppliers in the lead in a rebound from worries over the
earthquake and nuclear crisis in Japan.
  Hon Hai, Taiwan's top electronics gear maker, and touch
panel maker Wintek (2384.TW) both jumped over 1 percent,
sending electronics shares .TELI 1.14 percent higher.
  "The massive sell-off earlier this week has been
overdone. With more and more information about the supply
chain becoming available into next week, investors would
realise the worst-case scenario they had assumed was too
far," said Mike Fang, a fund manager of Paradigm Asset
  "I am not worried about the supply chain of Apple,"
said Fang, adding he bought those shares at dips this week.
  Hon Hai was expected to post higher sales in March from
February, reflecting no shortage in materials after the
quake in Japan, a local media report said, citing estimates
from institutional investors.
  About one hour into trading, the main TAIEX share index
.TWII had climbed 79.47 points to 8,360.00.
  The main index is likely to test the 8,600 point level
next week, subject to the latest development of Japan
nuclear crisis, said Fang.
  Among the biggest winners, tourism shares .THOI rose
3.6 percent and construction .TCOI jumped 3.3 percent.
 Taiwan's finance ministry will carefully evaluate the
implementation of a proposed "luxury tax" on investment
properties, private jets and others in the aftermath of the
Japan quake, a local newspaper reported.
 The Taiwan dollar TWD=TP rose by T$0.023 to T$29.551.
 (Reporting by Faith Hung)