Shares close up 6.29 percent


AFP

TAIPEI, Taiwan — Taiwan shares closed up 6.29 percent Thursday, after the U.S. Federal Reserve and the local central bank cut their key interest rates, dealers said. The weighted index rose 277.12 points to 4,683.64 on turnover of NT$67.7 billion (US$2.03 billion). Gainers outnumbered decliners by 1,348 to 194 while 278 stocks remained unchanged.

Tourism soared 6.96 percent and transport rose 6.59 percent ahead of further Taiwan-China talks on expanding transport links to be held in Taipei next week.

Financials rose 6.82 percent and electronics was up 6.06 percent. Taiwan’s central bank cut its key discount rate by 25 basis points to 3.00 percent before the market opened Thursday, after the Fed lowered its benchmark rate by half a percentage point to 1.0 percent overnight. “Besides the rate cuts, stocks also rose because their prices are attractive, having fallen very low recently,” said Taiwan International Securities sales manager Andrew Teng.