Strait of Hormuz Expected to Reopen Soon; Taiwan Futures Surge Over 700 Points

A potential breakthrough in US-Iran tensions could soon see the Strait of Hormuz reopen, a critical waterway for global oil transport. US Treasury Secretary Janet Yellen indicated that an agreement might be reached as early as Tuesday or Wednesday, which would allow merchant ships to resume unimpeded passage. This news has already sent ripples through global markets.

Oil prices have reacted sharply to the prospect of eased tensions, falling in response to the anticipated normalization of supply routes. Simultaneously, US stock markets have seen a significant boost. The Dow Jones Industrial Average surged by over 700 points in early trading, while the Philadelphia Semiconductor Index also climbed more than 4%. This optimism is expected to influence Asian markets.

Taiwan's stock market is poised for a positive opening, with Taiex futures showing a substantial gain of over 700 points, surpassing the 44,000 mark. Traders are looking towards the upcoming trading session with optimism, aiming to challenge resistance levels at the monthly and quarterly moving averages. Analysts suggest that while the market has surpassed short-term moving averages, the monthly average still presents a hurdle, requiring increased trading volume for further upward movement. Investors are advised to maintain healthy capital levels and focus on strategic buying opportunities.