Asian stock markets close higher on bargain hunting
Asian stock markets close higher on bargain hunting
HONG KONG (AP): Asian stock markets closed mostly higher on
Wednesday, as bargain hunting and a technical rebound reversed
losses from earlier in the week.
Tokyo stocks rose as banking shares gained on expectations
that most of the debt-laden banks will apply for public funds
under a scheme to strengthen their capital base, as well as on
growing optimism about tax cuts expected to be included in the
government's upcoming economic stimulus package.
The ruling Liberal Democratic Party is expected to decide
Thursday on a basic framework for the stimulus plan, then to
release details on Monday.
The Nikkei average of 225 selected issues rose 319.93 points,
or 2.3 percent, to 14,428.02 after a 86.45-point fall Tuesday.
The dollar was trading at 121.12 yen in late afternoon, down
1.20 yen from late Tuesday in Tokyo and below its late New York
level of 122.52 yen overnight.
The dollar weakened in a round of profit-taking, traders said.
Share prices in Hong Kong closed sharply higher, mainly on a
technical rebound after four days of losses.
The blue-chip Hang Seng Index ended up 415.99 points, or 4.3
percent, at an intraday high of 10,137.32.
Singapore shares also surged, bolstered by a stronger
Singapore dollar and easing interbank rates.
The benchmark Straits Times Index closed up 64.76 points, or
5.5 percent, at 1,236.82.
In Taipei, shares ended sharply lower after another of the
island's conglomerates said it bounced checks, raising concerns
about companies' cash flow problems. The key Weighted Price Index
of the Taiwan Stock Exchange fell 157.51 points, or 2.3 percent,
to 6,654.79.
Gains
In Sydney, Australian share prices closed sharply higher on
the back of strong gains in the banking sector and media concern
News Corp. The All Ordinaries index of share prices closed at
2720.7, up 38.3 points from Tuesday's close at 2682.4.
In Wellington, New Zealand share prices finished lower for a
second consecutive session, pulled down by a fall by market
leaders Telecom Corp. of New Zealand Ltd. and Tranz Rail Holdings
Ltd. The benchmark NZSE-40 capital index closed down 20.85 points
or 1.0 percent at 1,986.56.
In Manila, Philippine shares closed higher, buoyed by bargain-
hunting after two consecutive days of losses. The Philippine
Stock Exchange index of 30 selected stocks soared 71.13 points,
or 4.3 percent, to 1,708.23 after losing a total of 160.97
points, or 9 percent, in the last two days.
In Bangkok, Thai shares closed higher on a rebound in finance
shares after two days of losses, dealers said. The Stock Exchange
of Thailand index gained 19.64 points, or 5.8 percent, to end at
356.26.
In Seoul, share prices ended lower for the second straight day
as the market continued to consolidate following its recent sharp
rise. The Korea Composite Stock Price Index fell 2.54 points to
400.70.
In Kuala Lumpur, Malaysian share prices closed higher as local
funds and retail players bought into the market, taking advantage
of extra cash in the banking system following an interest rate
cut earlier this week. The benchmark Kuala Lumpur Stock Exchange
Composite Index rose 8.58 points, or 1.8 percent, to finish at
476.12.