A winning run for Taiwan's financial markets is set to be reinforced by Saturday's landslide election victory for President Tsai Ing-wen.
That's the view of market watchers and analysts, with the result seen helping extend what has been a positive period of investor sentiment toward Taiwan. It is expected to provide a short-term boost to stocks in sectors that will benefit from the continuation of supportive government policies after Tsai's re-election.
Traders have their first chance to react to the victory of Tsai's Democratic Progressive Party — which advocates for Taiwan's formal independence — when markets open on Monday. Likely beneficiaries include stocks related to biotechnology and wind energy, which gained ahead of Saturday's election on expectations that government support will continue. Tourism stocks may slide on concerns the result will chill cross-strait ties.