Taiwan Eases Stock Disposal Rules, Market Reacts Positively

Taiwan's stock exchanges are set to implement relaxed regulations for stocks under special treatment, commonly known as "disposal stocks" (處置股). The Taiwan Stock Exchange and the Taipei Exchange announced revisions to the "Notice and Disposal" rules, which will shorten the disposal period to five days, or seven days for stocks meeting specific day-trading volume criteria.

Under the new system, the trading interval for both initial and secondary disposal periods will be adjusted to a twice-per-minute matching system. These changes are scheduled to take effect on August 10 and will also apply to stocks already under disposal at that time. The market has responded positively, anticipating that the relaxed rules will enhance liquidity.

Today, 29 stocks were under the disposal system. The market celebrated the upcoming changes, with 12 of these stocks surging to their upper limit during intraday trading. Notable gainers included Hesheng Industrial (3026), Huaxing Light (4979), Dali (3167), Hejing (6182), Nanden (8046), and Taishengke (3532).

Market participants view the easing of disposal regulations as a beneficial move for improving overall market liquidity and encouraging trading activity.