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Taiwan: Stocks up in cautious trade, outlook uncertain


[TAIPEI] JTaiwan stocks rose on Friday in cautious trade as the main index tried to regain six-week highs but an overall uncertain outlook tempered gains.

The buying came as Asian shares advanced but investors continued to look to US employment data that could add to or detract from the case for a Federal Reserve interest rate hike this month or in July.

As of 0345 GMT, the main TAIEX index was up 0.1 per cent, at 8,565.41, after closing down 0.5 per cent in the previous session.

The electronics subindex rose 0.4 per cent, while the financials subindex lost 0.3 per cent.

Taiwan's financial markets will be open on Saturday for a special trading session ahead of next week's Dragon-boat Festival holiday.

The central bank will hold its quarterly policy meeting at the end of this month. Traders said another rate cut is likely, following three since late September, to shore up flagging growth.

The meeting is scheduled for after the US Federal Reserve holds its own policy meeting on June 14-15 this month and the referendum in Britain on whether or not to leave the European Union.

The Taiwan dollar firmed TW$0.002 to TW$32.610 per US dollar.