FX.co ★ Taiwan Shares May Add To Their Winnings On Friday

The Taiwan stock market has been on a positive trajectory for the last four sessions, gaining over 750 points, which is nearly a 3.8 percent rise. The Taiwan Stock Exchange is now approaching the 19,700-point level and is projected to start Friday on a stronger note.

Global expectations for Asian markets are positive, given the increasing confidence in the perspective of interest rates. Both European and U.S. markets have seen growth and it is projected that Asian markets will follow suit.

On Thursday, the Taiwanese Stock Exchange (TSE) finished strongly, with the majority of financial and technology shares increasing in value. The day ended with the index up by 194.07 points, or 1.00 percent, at 19,693.52 points after fluctuations between 19,630.79 and 19,794.57.

Key movers included Cathay Financial increasing by 0.67 percent, while Mega Financial saw a slight dip of 0.25 percent. CTBC Financial rose by 1.02 percent, and Taiwan Semiconductor Manufacturing Company saw a significant increase of 3.40 percent. Meanwhile, United Microelectronics Corporation advanced by 2.03 percent, while Formosa Plastics dropped by 0.99 percent.

The momentum from Wall Street is high as the major averages continued to rise on Thursday. This continued development was buoyed by optimism regarding current interest rates following Federal Reserve Chair Jerome Powell's comments in Congress where he confirmed that rate cuts can and would commence this year.

This positivity around interest rates was further enforced when the European Central Bank revised its annual inflation outlook downwards while choosing to let the rates remain the same.

Oil prices saw a slight drop on Thursday amidst concerns about future demand, ending at $78.93 a barrel. Meanwhile, treasury yields experienced further decreases, which could influence Wall Street's purchasing interest.

In local news, Taiwan will release February's data for imports, exports, and trade balance. In January, year-on-year imports increased by 19.0 percent while exports rose by 18.1 percent, culminating in a trade surplus of $2.49 billion.