Taiwan stocks soar on Wall Street

Taiwan stocks rose 0.55 percent on Thursday, led by tech heavyweights like TSMC after a rally on Wall Street and after a report that Taiwan's retirement funds could pour up to US $7.32 billion into stock investments.
The main TAIEX rose 48.61 points to end at 8,892.83. The index had been in consolidation mode this week after surging about 9 percent since May. Adding to Thursday's rise was government approval for four chip packagers, including ASE, to invest in China.
"Gains in US stocks helped ease concerns of a pullback in equities markets across Asia," said John Kuo, who manages T$8 billion for Fuh Hwa Securities Investment Trust.
"The report is a signal from the government it wants investors to be bullish on stocks."
Taiwan's old and new retirement plans will be able to invest up to T$240 billion ($7.32 billion) of their combined funds in stocks once they are merged later this year, the Commercial Times reported, citing a government official.
Taiwan Semiconductor Manufacturing (TSMC), the world's top contract chipmaker, climbed 1.29 percent. That followed a 1.18 percent gain of its US-traded shares and a 2.19 percent rise in the Philadelphia Semiconductor Index.
Closest rival United Microelectronics (UMC) gained 0.76 percent, helping boost the electronics sub-index up 0.57 percent. On Wednesday, US stocks rose, ending a three-day slide.
Advanced Semiconductor Engineering (ASE), the world's No 1 chip packaging firm, and three smaller rivals rose after the Taiwan government on Thursday approved their applications to invest in China, allowing them to join foreign competitors to tap the world's fastest growing chip market.
ASE was up 1.47 percent, Siliconware rose 1.73 percent, Walton Advanced Engineering jumped 5.28 percent and Greatek Electronics ended 5.54 percent higher.