The finance ministry is closely watching the performance of stock markets in Taiwan and other countries. That’s the word from Deputy Finance Minister Wu Tang-chieh on Monday.
Wu’s comments came after Taiwan shares plunged 2.68% on Monday, the first trading day of 2016. The TAIEX dropped 223.80 points, closing at 8114.26. Also on Monday, the Taiwan dollar fell against the US dollar, dropping NT$0.170 to a three-month low of NT$33.236 to one US dollar.
Wu said the national stabilization fund will continue injecting momentum into the stock market and that no single shares will be sold. He said Monday’s tumble was mostly due to market drops in Europe and the United States. Wu also said economic worries, triggered by the appreciation of the US greenback, have also affected the performance of Asian stocks.
Wu said the committee in charge of the National Stabilization Fund will meet on January 18th to discuss whether the government should intervene in order to stabilize the market.
Meanwhile, Financial Supervisory Commission (FSC) Chairman William Tseng said the stock market in 2016 will be better than in the second half of last year, and that the economy will gradually recover.