May 8 (Bloomberg) -- Taiwan’s stocks rose, driving the benchmark index to a 21-month high, as Acer Inc. led a rally for technology companies after earnings beat analysts’ estimates.
Acer, the island’s largest PC maker by shipments, surged 2.3 percent after it reported first-quarter net income of NT$515 million. Chip designer MediaTek Inc. climbed to the highest level in more than 2 years after reporting April sales increased. Taiwan Semiconductor Manufacturing Co., the biggest contributor to the benchmark Taiwan Taiex index’s gain today, surged to a record after the Economic Daily News said the company’s gross margin may reach 50 percent in the second half.
“The outlook for companies, especially blue chips, is quite good for the second quarter and this is boosting investors’ confidence,” Barry Chen, a fund manager at Union Securities Investment Trust Co., said in a phone interview from Taipei today.
The Taiex index jumped 1.3 percent to 8,267.09 at the close, the highest level since Aug. 4, 2011. Trading volume was 31 percent higher than the 30-day average for that time of day, according to data compiled by Bloomberg.
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