Regional bourses mixed as domestic factors lead

Regional bourses mixed as domestic factors lead

HONG KONG (AFP): Asia-Pacific markets went their separate ways yesterday, taking the cue from domestic factors and largely ignoring a dip on Wall Street caused by Federal Reserve chairman Alan Greenspan's warning on the U.S. economy.

South Korean President Kim Dae-jung's inauguration with a vow to reform the country's giant conglomerates, a Standard and Poor's downgrade of 15 Indonesian banks and expectations of a further Japanese stimulus package dominated the markets.

Malaysian Prime Minister Mahathir Mohamad's remarks that a move to let non-Malays buy companies owned by ethnic Malays and other indigenous groups was a temporary measure pulled down Malaysian share prices.

Singapore's release of lower growth estimates for 1998 cheered the market in the city-state which saw them as more realistic, while Bangkok took its lead from the introduction of a controversial oil tax.

In Hong Kong, share prices rose 1.9 percent on selective bargain hunting amid an easing of interbank interest rates, dealers said.

The key Hang Seng index gained 203.40 points to close at 10,886.74 -- its highest in nearly two weeks -- after losing a negligible 1.87 points the previous day.

In Tokyo, Japanese share prices ended 1.0 percent higher on late bargain hunting which reversed earlier losses amid concerns over the nation's economic outlook, brokers said.

The key Nikkei stock average of 225 selected issues on the Tokyo Stock Exchange rose 162.64 points to end at 16,360.64, after dipping below the major chart line of 16,000 for the first time since January 14.

In Singapore, share prices rose 1.4 percent following the government's announcement of lower economic growth estimates for 1998, which the market saw as more realistic.

The Straits Times Industrials rose by 21.47 points to 1,583.22. The All-Singapore index rose 5.44 points to 420.19.

In Australia, the main indicator, the All Ordinaries index, rose 9.5 points to 2,675.7.

In Kuala Lumpur, Malaysian share prices fell 2.3 percent, led by market expectations of bailouts of troubled companies owned by ethnic Malays, dealers said.

The Kuala Lumpur Stock Exchange composite index ended at 712.81 points, down 17.03 points from Tuesday's close.

In Bangkok, Thai share prices closed 0.8 percent weaker amid profit-taking after Bangkok introduced a disputed oil tax as well as a new economic strategy for the year, dealers said.

The Stock Exchange of Thailand (SET) composite index ended the day 4.08 points lower at 512.98, while the SET 50 selected index closed 0.40 points down at 38.21.

In Manila, Philippine share prices closed 2.5 percent higher in a technical rebound after four days of decline, analysts said. "We are looking at it on the purely technical side," said Harry Liu, president of Summit Securities.

The Philippine Stock Exchange composite index rose 52.92 points to close at 2,153.70 points.

In Seoul, share prices closed 4.5 percent lower on the Korea Stock Exchange after new President Kim Dae-Jung vowed to take a tough stance on conglomerate reforms, dealers said.

The composite index closed down 24.51 points at 516.38, off a low of 516. 10.

In Taipei, Taiwan stocks slipped 0.4 percent due to overnight weakness on Wall Street in what dealers described as a healthy correction.

The Taiwan Stock Exchange weighted price index dropped 39.36 points to 9, 027.10.

In Shanghai, profit-taking drove Shanghai's B shares, nominally reserved for foreign investors, 1.3 percent lower in volatile trade.

The Shanghai Stock Exchange's B share index lost 0.75 point to close at 57. 62 points while the A share index of locally-traded stocks fell 14.21 points, or 1.1 percent, to 1,258.40 points.

In New Zealand, stocks ended 0.8 percent higher on the back of handsome gains chalked up by Telecom Corp. and pulp and paper stocks, with the NZSE-40 index rising by 18.99 points to 2,285.83.