Asian markets await Greenspan's testimony

Asian markets await Greenspan's testimony

SINGAPORE (Agencies): Asian assets lacked direction on Monday
as investors were fretting over a prognosis of the U.S. economy
by Federal Reserve Chairman Alan Greenspan in testimony scheduled
on Tuesday.

Analysts and fund managers said the market was focusing on the
extent of the slowdown in the U.S and how far it would go.

Japan's financial markets were closed on Monday, but other
markets in Asia drew little support from a cut in its discount
rate -- its first in six years -- and other measures to improve
liquidity on Friday.

The regional markets seemed to ignore the move and I don't
think Japanese stocks will open with a bang on Tuesday.

"Regarding non-Japan Asia, our equity strategists are positive
on the region on the 12-month basis, because they believe that
markets are significantly undervalued," said Goldman Sachs in its
latest quarterly report.

Goldman said its strategists were more bullish about emerging
markets now than they were in November 2000. And within emerging
market, they recommended an overweight in non-Japan Asia and
underweight in Latin America.

Australian shares closed 0.5 percent higher on investor
interest in News Corp and select blue chips.

The All Ordinaries index closed 15.8 points higher at 3,277.1
while the SP/ASX 200 index added 17.9 points to 3,330.3.

Share prices in Singapore closed 0.9 percent higher in
generally lackluster trading after gains in key banking stocks on
merger and acquisition rehammers.

The Straits Times Index rose 16.81 points to 1,990.18.

Malaysian shares closed barely higher in dull trade with an
absence of fresh leads.

The Kuala Lumpur Stock Exchange composite index rose 0.77
points to finish at 725.58.

Philippine share prices closed 0.9 percent higher with
sentiment lifted by the central bank's latest interest rate cuts.

The Philippine Stock Exchange composite index added 16.47
points to close at 1,712.06.

Indonesian share prices closed down 0.8 percent amid ongoing
concerns over political developments but a late rebound limited
losses.

The Jakarta Stock Exchange composite index closed down 3.449
points at 424.465.

They said investors remained concerned over the political
standoff between President Abdurrahman Wahid and a majority of
legislators from the lower house of the parliament.

A dealer with Vickers Balas Tamara said ongoing uncertainty
over the political situation "continued to put pressure on stock
prices."

The Shanghai Stock Exchange's B-share index, which tracks
shares nominally reserved for foreigners, inched down 0.64 points
to 78.59 on a thin turnover of 119.2 million yuan ($14.4
million).

The A-share index edged up 4.74 points or 0.2 percent to
2,075.56 on turnover of 6.68 billion yuan.

South Korea's stocks eked out gains as foreign and retail
investors selectively bought financial stocks on expectations
they would benefit from fresh liquidity following Bank of Korea's
25-basis point interest rate cut last week.

Taiwan's stocks also made marginal gains on foreign funds
buying and hopes local computer motherboard makers may win big
foreign orders.

Hong Kong's Hang Seng Index closed down 180.17 points or 1.14
percent at 15,693.11, dragged lower by telecom heavyweights China
Mobile and Hutchison Whampoa.

Thai stocks consolidated as investors cashed in on recent
gains ahead of a new cabinet and its policy statement.

The Composite SET index lost 5.86 points or 1.8 percent at
318.86 due to profit taking in banks, finance and electronics
shares.