Asian markets end mixed as Japan readies for reform

Asian markets end mixed as Japan readies for reform

TOKYO (AFP): Asian markets closed mixed yesterday as Japan
readied for its Big Bang financial reforms to kick in with high
hopes that they would boost the world's second biggest economy.

Japanese share prices closed 1.6 percent higher as public
funds were injected to lift the market on the final day of the
current fiscal year, Tokyo-based brokers said.

Markets in Bangkok, Manila and Singapore saw their key indices
fall on a lack of interest from overseas buyers and no
encouragement from Wall Street, dealers said.

In Jakarta, the stock trading was closed to mark the closing
of the 1997/98 fiscal year.

In Tokyo, share prices started to gain further on futures-led
buying after 2:30 p.m. as public funds finally emerged," a Chuo
Securities broker said.

The key Nikkei stock average of 225 selected issues gained
264.13 points to end at 16,527.17. The Topix index of all issues
on the first section of the Tokyo Stock Exchange closed up 10.43
points at 1,2251.70.

"There was no clear trend in the market today, as investor
interest was focused on when and how active buying by public
funds would emerge," the broker said.

In Hong Kong, share prices rose 0.1 percent in cautious
trading as traders shored up positions amid a lack of fresh
leads, dealers said.

"The market is moving up and down in close range as there is
not much good news or bad news," said Sean Li, associate director
at Amsteel Securities.

The key Hang Seng index gained 14.92 points to close the
session at 11,518. 68.

In Australia, shares made marginal gains as offshore investors
deserted the local bourse, brokers said.

The Australian Stock Exchange's main indicator, the All
Ordinaries index, gained 3.2 points to 2,744.2 points.

The All Industrials index rose 6.2 points to 4,702.0 points
while the All Resources index was 0.7 points higher at 1,182.9
points.

In Singapore, share prices closed 1.2 percent lower in thin
trade amid slight profit-taking in the absence of leads to spur
the market.

The index's fall late in trade came as blue chip Singapore
Airlines Ltd. (SIA) denied rumors that it would announce Tuesday
plans to merge the foreign and local tranches of its shares,
dealers said.

The benchmark Straits Times Industrials index fell 19.38
points to 1,629. 18, while the All-Singapore index fell 7.79
points to 419.14.

In Kuala Lumpur, key stock index closed 0.5 percent lower in
thin trade on fears of possible interest rate hikes and further
tightening of liquidity.

The Kuala Lumpur Stock Exchange's 100-share weighted composite
index fell 3.44 points to end at 719.52, while the second board
index lost 0.04 points, or 0.02 percent, to 179.81.

In Bangkok, Thai share prices closed 1.3 percent lower after
tumbling sharply on the unveiling of tighter new banking
regulations and an unwelcome ratings downgrade for Thai banks,
dealers said.

The Stock Exchange of Thailand composite index ended the day
5.98 points down at 459.11, after clawing back some ground after
an earlier plunge. The SET 50 index closed down 0.55 points at
33.27.

In Manila, Philippine share prices closed 1.6 percent lower as
the market took its cues from abroad ahead of the Lenten
holidays.

"It seems that the Dow, which has been leading the market in
the last two weeks, (is) taking a breather," Alex Timbol of All
Asia Securities Management Corp. said.

The Philippine Stock Exchange index shed 35.38 points to
2,238.42.

In Seoul, share prices closed 0.3 percent lower on the Korea
Stock Exchange, giving up early modest gains as foreign interest
remained muted, dealers said.

"Today's rating change by Moody's does not mean that we have
recovered to investment grade levels. It is just a change within
the level of nought investment grades, from negative to stable,"
said Park Suk-han, a dealer with KLB Securities.

The composite index closed down 1.29 points at 481.04, off a
high of 490. 31.

In Shanghai, the B shares, nominally reserved for foreign
investors, fell one percent in dull trading, dealers said.

The Shanghai Stock Exchange's B share index lost 0.53 points
to close at 53.97 points while the A share index of locally-
traded stocks ended down 6.66 points, or 0.5 percent, to 1,312.05
points.

In Taipei, the Taiwan stock market inched up slightly as most
investors stayed on the sidelines amid a consolidation, dealers
said.

The Taiwan Stock Exchange weighted price index rose 2.20
points to 9,091. 16.

In New Zealand, continued worries about rising interest rates
saw the New Zealand Stock Exchange close down 0.7 percent, with
the NZSE-40 index losing 15.15 points to 2,287.97.