Poor short term outlook for Far East

During the last six months in Taiwan, the economy and the market have been battered by what commentators described as a 'perfect storm'. Falling global demand for IT products has seriously undermined the island's all-important electronic industries. Domestically, the power transition from the long established KMT to the Democratic Progressive Party was far from smooth. The conflicts reached boiling point in the fourth quarter last year when the KMT threatened to impeach the president. These events have caused the stock market to fall by as much as 40% since September, which in turn has t...