Taiwan share prices closed down 0.76 percent yesterday, reversing earlier gains triggered by three newly-inked financial agreements with China, dealers said.The weighted index finished 59.47 points lower at 7,733.21 on turnover of NT$146.05 billion (US$4.55 billion).
Losers led gainers by 1,718 to 1,010 with 213 stocks unchanged.
The market opened up 1.07 percent after the island signed three long-anticipated financial memoranda of understanding with China, paving the way for closer cooperation in banking, insurance and securities.
However, profit-taking among financial shares sent the market lower, with the finance sector closing down 2.49 percent after opening 1.30 percent higher.
"The long-term strength of financial shares remains" despite profit-taking, said IBT Securities analyst Regina Lee. Lee expected securities houses to benefit the most from the agreements, which will allow Chinese institutional investors to place up to 10 percent of their funds on the Taiwan bourse.
Mega Financial Holding fell 3.74 percent to NT$19.35 and Chinatrust Holding was down 3.33 percent to NT$20.35. Electronics fell 0.52 percent. Chi Mei rose 6.72 percent to NT$21.45 while Innolux dropped 4.96 percent to NT$46.00.
This was in spite of news that authorities were investigating whether Chi Mei released misleading information before it was taken over in a share swap deal worth US$5.38 billion.
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