2012.05.02 06:29:16 MARKET TALK: Taiwan Govt Bonds Lower; 5-Year Yield Cap At 1.01%

0429 GMT [Dow Jones] Taiwan government bonds are lower, weighed by rising local stocks (the Taiex is up 2.0%), says a local trader. "Most investors are just taking cues from stronger local stocks in the absence of fresh trading incentives, " he says. He adds that the government's latest plan to delay an electricity rate hike helps dampen inflationary concerns, but most bond market participants have priced in no central bank policy rate hikes at the central bank's next meeting in June. The most-traded five-year bond yield is at 0.9988% vs 0.9941% late Monday; he tips the yield in a 0.9900%-1.0100% range for the session. (fanny.liu@dowjones.com) Contact us in Singapore. 65 64154 140; MarketTalk@dowjones.com (END) Dow Jones Newswires May 02, 2012 00:29 ET (04:29 GMT)