FX.co ★ Taiwan Shares May Extend Friday's Gains

After a two-day slide where it lost almost 275 points or 1.4 percent, the Taiwan Stock Exchange rebounded last Friday. It now stands just above the 20,330-point mark, and is anticipated to further add to its gains on Monday.

Global forecasts show a positive outlook for Asian markets, buoyed by better prospects for interest rate trends. Following robust finishes for both European and U.S. markets, Asian markets are also expected to begin on a strong note.

Last Friday's positive closing for Taiwan Stock Exchange (TSE) was led by encouraging performances from financial shares, technology stocks, and cement companies. On that day, the index rose by 107.88 points or 0.53 percent, finishing at 20,330.32 after trading within the bounds of 20,272.34 and 20,521.49.

Successful performers for the day included CTBC Financial, Taiwan Semiconductor Manufacturing Company, United Microelectronics Corporation, Largan Precision, and Delta Electronics, among others. There were some notable laggards too, such as Formosa Plastics and Nan Ya Plastics.

Wall Street's positive performance provided another boost, as key averages opened significantly higher on Friday and maintained their position all day. The Dow rose by 1.18 percent and NASDAQ by 1.99 percent, while the S&P 500 advanced by 1.26 percent. Despite less than expected growth in April's U.S. employment figures, optimism reigns over the future of interest rates. This upbeat sentiment is fueled further by the Federal Reserve's latest monetary policy meeting.

In contrast, oil prices fell last Friday. Concerns over the outlook for global oil demand led to the greatest weekly decrease in the futures contract in approximately three months. West Texas Intermediate crude oil futures for June dropped by $0.84 or 1.06 percent, ending at $78.11 a barrel.