Most Asia-Pacific markets stage rebound

Most Asia-Pacific markets stage rebound

TOKYO (AFP): Stronger Japanese shares led a return to
confidence as investors maintained positive sentiment over the
financial sector, as other markets in the Asia-Pacific were
buoyed by comments from visiting IMF officials.

A pledge to reform the Indonesian economy from President
Soeharto during a visit by International Monetary Fund (IMF)
managing director Michel Camdessus helped foreign investors
return to the region, dealers said.

Positive comments by the IMF chief on Friday also boosted
Malaysian shares, as other bourses underwent technical rebounds
after being oversold throughout the week, analysts said.

Japanese share prices surged 6.1 percent to above the 16,000-
points level on improved sentiment over the financial sector, led
by strong buying from foreign investors, brokers said.

The Nikkei stock average soared 924.47 points to end the
session at 16,046. 45, the first close above the 16,000-point
mark since December 17 last year.

It was the largest jump since November 17, when the key index
shot up 1, 201 points or 8.0 percent.

The broader Topix index of all first section issues rose 52.60
points to close at 1,201.71, with turnover on the major board
swelling to an estimated 700 million shares from Wednesday's
409.5 million shares.

In Hong Kong, share prices surged 3.7 percent on a technical
rebound after the previous day's 7.0-percent slump on rumors of
corporate defaults, dealers said.

"It is more of a technical rebound after investors realized
they had oversold," said Ricky Tam, research director at Delta
Asia Securities.

The key Hang Seng Index gained 321.06 points to close at
8,900.04 -- only its third gain so far in the new year.

In Sydney, Australian shares jumped 1.1 percent as the bourse
shrugged off falls in Wall Street to take its lead from a strong
rise in Japan and Hong Kong, brokers said.

The Australian Stock Exchange's key barometer, the All
Ordinaries index, rose 29.5 points to 2,614.0. The All
Industrials index finished the day up 45. 8 points at 4,510.7 and
the All Resources was 17.2 points up at 1096.6.

In Singapore, share prices ended nearly 1.0 percent higher on
late bargain-hunting of index-linked stocks.

"Investors were generally cautious in the beginning ahead of
the weekend but some took the chance to pick up blue chips whose
prices have come down quite a bit of late," a dealer with a local
stock brokerage said.

The blue-chip Straits Times Industrial Index of the Stock
Exchange of Singapore rose 11.90 points to end at 1,245.26, while
the broader All-Singapore index was up 4.29 points to 370.87.

In Kuala Lumpur, Malaysia's key stock index ended 2.8 percent
higher due to late-buying by institutional investors after a
reaffirmation that Malaysia does not need IMF funding.

"In late afternoon, there was some buying interest by
institutional players on index-linked counters, and retail
players were picking up other cheap stocks," a dealer said.

The Kuala Lumpur Stock Exchange composite index rose 14.50
points to end at 539.97 while the second board gained 7.15
points, or 5.0 percent, to 153. 11.

In Bangkok, Thailand's volatile share market soared 5.2
percent on renewed buying by foreign investors after positive
comments on the economy from IMF chief Michel Camdessus, dealers
said.

"In addition to positive comments by Camdessus, gains in major
overseas markets especially Hong Kong and Tokyo contributed to
the jump," said Adisak Limthamrongkul, head of research at Union
Asia Finance and Securities.

The Stock Exchange of Thailand (SET) composite index gained
18.88 points to close at 383.01 points, while the select SET-50
index added 1.76 points to its total to finish at 27.98 points.

In Manila, Philippine share prices fell 1.8 percent in a
correction after a four-day rally, analysts said.

"This is just a normal correction," said Rogelio Gutierrez of
Corinthian Securities Inc.

The Philippine Stock Exchange composite index fell 30.22
points to close at 1,676.63 points.

In Seoul, share prices retreated 3.5 percent on the Korea
Stock Exchange amid record turnover as institutions took profits
on recent sharp gains, dealers said.

Dealers said the downturn was expected, given the overbought
state of the market, adding that slowed buying by foreign
investors sparked institutional profit-taking.

The composite index closed down 17.88 points at 488.10.

In Shanghai, the B shares, nominally reserved for foreign
investors, rose 4.7 percent on a perceived easing of the
Southeast Asian currency turmoil, analysts said.

The Shanghai Stock Exchange's B share index rose 2.04 points
to close at 44.80 points while the A share index of locally-
traded stocks lost 2.55 points, or 0.2 percent, to 1,285.16
points.

In Taipei, Taiwanese share prices edged up 0.4 percent on
strong buying of financial and technology issues, dealers said.

The Taiwan Stock Exchange weighted price index rose 28.33
points to 7,799. 10.

In Auckland, New Zealand shares fell 0.3 percent as sentiment
stayed fragile on concerns over Asia's economic woes.

"Investors are extremely cautious and the volatility that we
have to live with day to day is going to continue for the
moment," Merrill Lynch's Matt Cunneen said.

The NZSE-40 index fell 6.27 points to 2,208.31.