KL stocks surge but other Asian markets flounder
KL stocks surge but other Asian markets flounder
KUALA LUMPUR (AFP): Malaysian share prices shot up 16.1
percent Friday on heavy institutional buying as Asian stock
markets ended mixed in cautious week-end trade.
Analysts said the buying on the Kuala Lumpur bourse appeared
orchestrated to camouflage any impression of political
instability after the expulsion of ousted deputy premier Anwar
Ibrahim from the ruling party.
In neighboring Singapore, stock prices ended 0.9 percent lower
as banking shares languished amid jitters over bank exposure to
Malaysia.
In heavy trade, the Kuala Lumpur Stock Exchange index gained
50.37 points to close at 363.44 as local funds snapped up
government-linked and blue-chip stocks to create a feel-good
mood, dealers said.
Simon Flint, regional economist with IDEA in Singapore, said
buying was orchestrated as a "show of strength that the
government is doing the right thing" with the economy.
In Singapore, share prices closed 0.9 percent lower, as
banking stocks languished on prevailing concerns over their
Malaysian exposure despite a surge in Kuala Lumpur.
The benchmark Straits Times Index fell 7.66 points to 805.04.
The broader All-Singapore index fell 1.89 points to 253.20 as
trading on Malaysian shares traded over the counter was
suspended.
In Hong Kong, share prices rose 2.3 percent after recouping
earlier losses on bargain hunting, despite overnight falls on
Wall Street, dealers said.
"It looks that small investors are in the market for oversold
stocks," said Alex Tang, research head at Core-Pacific Yamaichi
International.
The key Hang Seng index gained 169.88 points to close at
7,488.47.
In Tokyo, Japanese share prices closed 1.5 percent lower as
concerns about corporate earnings and global financial markets
dampened sentiment, brokers said.
The key Nikkei stock average of the Tokyo Stock Exchange fell
218.33 points to end the session at 14,042.91. The Topix index of
all issues on the first section closed down 19.30 points at
1,094.47.
In Sydney, Australian share prices fell 0.4 percent, but
bigger losses were averted by a rise in the local currency,
analysts said.
The Australian Stock Exchange's benchmark All Ordinaries index
dropped 9.3 points to 2,504.0.
In Bangkok, Thai share prices closed barely lower amid
persistent concerns over a global economic slump and an ongoing
sell-off by local institutional investors, analysts said.
The Stock Exchange of Thailand (SET) composite index lost 0.09
point to 207.31 points. The SET 50 index closed unchanged at
13.71 points.
In Manila, Philippine share prices closed 2.8 percent lower
due to continuing regional turmoil complicated by this week's
political shake-up in Malaysia, analysts said.
The Philippine Stock Exchange composite index fell 33.57
points to close at 1,159.38 points.
In Seoul, South Korean share prices ended a fractional 0.2
percent lower with early gains on futures-led buying offset by
profit-taking and investor jitters, dealers said.
The KSE composite index ended 0.56 points down at 314.22, off
a low of 314. 06 and a high of 318.73.
In Taipei, Taiwan share prices soared 3.4 percent Friday,
buoyed by a government plan to bail out the bourse after it
plunged to a two-year low, dealers said.
The Taiwan Stock Exchange weighted price index moved up 211.77
points to 6, 463.15, following a 3.4 percent plunge the previous
session.
In Shanghai, Shanghai's B shares, nominally reserved for
foreign investors, closed five percent higher on speculative
interest in low-liners and energy stocks, analysts said.
The Shanghai Stock Exchange's B share index rose 1.52 points
to close at 31.74 points while the A share index of locally-
traded stocks finished 16.89 points, or 1.4 percent, higher at
1,136.44 points.
In Auckland, New Zealand stocks rose 0.8 percent as commodity
stocks recovered some lost ground, dealers said.
The benchmark NZSE-40 index gained 13.40 points to 1789.07 on
turnover of NZ$87 million (US$44 million).