Major Asian stock markets close sharply lower, Tokyo up

Major Asian stock markets close sharply lower, Tokyo up

HONG KONG (AP): Most Asian stock markets ended sharply lower Wednesday, although shares in Tokyo, the region's largest exchange, edged up slightly.

Japan's benchmark 225-issue Nikkei Stock Average gained a scant 9.07 points, or 0.05 percent, to 17,211.16. On Tuesday, the average closed up 11.64 points, or 0.07 percent.

A rising futures market boosted sentiment in quiet trading as many participants stayed on the sidelines as Japan headed into the peak of the summer holiday season.

Hong Kong shares tumbled for a third straight session on concerns over disintegrating China and Taiwan relations and interest rate uncertainty.

The Hang Seng Index fell 1.3 percent, or 158.91 points, to close at 12,437.80. On Tuesday, the index slumped 2.7 percent, or 348.76 points.

Unconfirmed news reports about Chinese military maneuvers have rocked the stock markets in Hong Kong and Taiwan for the past several weeks - amid a standoff between Beijing and Taipei over Taiwanese President Lee Teng-hui's recent declaration of the island's statehood.

Taiwan shares also ended lower on China worries.

The Taipei market's key Weighted Price Index fell 40.92 points, or 0.6 percent, to 7,228.68.

In currency dealings, the U.S. dollar was trading at 114.56 Japanese yen in late afternoon trading, down 0.32 yen from late Tuesday in Tokyo and also below its late New York level of 114.81 yen overnight.

Indonesian shares plummeted for the third consecutive day on panic-selling amid growing concerns the rupiah may further weaken in coming days and jeopardize the country's economic recovery program.

Jakarta's Composite Index ended down 3.8 percent, or 22.080 points, at 554.263.

In Singapore, shares closed lower ahead of a possible rise in interest rates in the region. The Straits Times Index fell 35.03 points, or 1.7 percent, to 1,987.53.

In Manila, Philippine shares plunged to a four-month low amid growing concerns that both U.S. and local interest rates are headed higher. The 30-company Philippine Stock Exchange Index dropped 3.3 percent, or 72.89 points, to 2,157.89,

In Bangkok, Thai prices closed sharply lower as banking issues continued their nosedive amid pessimism over possible U.S. interest rate hikes and the pace of debt restructuring. The SET index fell 9.36 points, or 2.2 percent, to 421.49.

In Sydney, the Australian market closed at its lowest level since early June, triggered by losses on Wall Street and expectations of falling bond prices. The All Ordinaries Index closed at 2,934.9, down 23.8 points, or 0.8 percent.

In Seoul, South Korean shares fell sharply on disappointment over the delay in announcing reform plans for Daewoo Group. The Korea Composite Stock Price Index rose fell 24.58 points, or 2.5 percent, to 944.08.

In Wellington, New Zealand shares closed lower on a drop in the share price of Telecom Corp. of New Zealand Ltd. The benchmark NZSE-40 Capital Index closed 14.82 points, or 0.7 percent, lower at 2,150.28.

In Kuala Lumpur, Malaysian shares in the benchmark index closed higher on buying by local institutional funds. The Composite Index rose 4.85 points, or 0.7 percent, to 688.50.