MARKET: The strong result of the techno giant TSMC was not enough for the market

Asian stock markets were down overall on Thursday, but many markets also saw gains.

In Japan, the Nikkei index dominated by large export companies was down 0.8 percent, but the broader TOPIX index was up 0.7 percent. In mainland China, the rates were down by about half a percent, as well as in Hong Kong.

The stock markets in India were in a gentle decline, but in Korea and many medium-sized stock exchanges in Asia, the rates were clearly rising.

Asia’s most valuable company TSMC was down 0.9 percent after the results announcement. Taiwan Semiconductor Manufacturing Company’s previous quarter’s numbers were strong. The result for the end of the year was about 506 billion Taiwan dollars, while the analyst consensus expected 467 billion Taiwan dollars. Turnover grew at a rate of 20.5 percent from the comparison period and earnings per share at a rate of 35 percent.

Last year, TSMC’s turnover for the entire year exceeded one hundred billion US dollars for the first time. The company’s market value is already around 1400 billion dollars. TSMC is a contract manufacturer of chips that manufactures, among other things Nvidia’s and Apple’s designed chips.

In the foreign exchange market, the dollar had strengthened by 0.1 percent against the pound and the euro. The dollar/yen ratio remained close to the previous day’s closing quote.

You got 1.164 dollars for the euro and 158.44 yen for the dollar.

The prices of raw materials were on the decline on Thursday after a strong start to the year. The price of crude oil was down three percent after several consecutive days of growth. President of the United States Donald Trump’s the latest Iran comments were interpreted as reducing the risk of greater US action in Iran. Trump said his sources have assured him that the Iranian regime intends to stop killing people who participated in the mass protests.

Gold and silver prices were also falling on Thursday.

In the market, the theme of rotation is talking again. Rotation refers to the gradual transfer of capital from one set of investment targets to another. Yesterday in the US, technology stocks were down while the rest of the stock market was doing better.

“Rotation is clearly underway rather than serious fatigue. Broader strength is desirable, especially after the recent techno-focused course rally”, Global X Managementin investment strategist Billy Leung commented to Bloomberg.

The Euro Stoxx 50 future was up 0.2 percent in anticipation of a greener stock market opening in Europe.