HONG KONG Dec 16: Most Asia-Pacific stock markets continued to languish on Tuesday as weakening regional currencies and fears of their impact on corporate bottomlines took their toll on investor sentiment. A rally by the newly floated South Korean won and stocks failed to hearten bourses elsewhere in the region where markets have been pummelled in recent weeks by wave after wave of negative news.

Hong Kong share prices dropped 0.9 per cent amid worries the regional currency crisis could lead local interest rates to spurt, dealers said. ``There were persistent worries over the regional currency crisis, said Ricky Tam, research director at Delta Asia Securities. The key Hang Seng Index lost 88.77 points to close at 10,346.38 - its second consecutive session of loss.

Tam said trading was ``quiet'' as most fund managers have to close their book for the year, adding the market was expected to trade between 10,000 and 11,000 points in the coming days. Dealers said talk of possible further yen weakness in the near term raised the prospect of renewed downward pressure on regional currencies, with Hong Kong likely to be affected by high interbank rates.

Patrick Ho, institutional sales director at Seapower Securities, said investors were unwilling to mark up the market despite lower interest rates because of the currency concerns. ``The outlook is grim. We are very pessimistic on the market outlook in the near to medium term,'' he said.

``With no signs of interbank rates easing to pre-crisis levels, you have to start asking some pretty serious questions about 1998 corporate earnings. There is no reason to buy in this market at the moment,'' he said.

Elsewhere, South Korean share prices rose 4.8 per cent and Jakarta stocks climbed almost five per cent, recovering from recent sharp plunges.TOKYO: Share prices rose moderately on positive expectations for a package of economic and financial measures to be adopted later in the day, brokers said. Investors turned buyers in the afternoon session as ``buying by public funds continued to emerge,'' a Chuo Securities broker said. The key Nikkei-225 index on the Tokyo Stock Exchange rose 75.82 points to end the session at 15,985.21, off a high of 16,130.37. The Topix index of all first-section issues edged up 3.33 points to 1,199.42.

SINGAPORE: Singapore stock prices fell 2.4 per cent on concerns over a weakening local dollar and regional financial turmoil amid prospects of further interest-rate hikes.

The blue-chip Straits Times Industrials index of the Stock Exchange of Singapore dipped 38.89 points to 1,561.75 while the broader All-Singapore index fell 5.02 points to 414.48.

SYDNEY: Australian share prices rose 0.5 per cent, buoyed by gains in industrial stocks and positive performances turned in by London and New York stock markets overnight.

Nevitts broker Ivan Mitchell said Asian markets had little impact on the Australian market. The Australian Stock Exchange's main indicator, the All Ordinaries index, finished up 13.2 points at 2514.1. KUALA LUMPUR: Malaysia's key stock index closed 2.5 per cent lower on continuing regional financial concerns and the poor outlook for corporate earnings amid a weak currency.

The Kuala Lumpur Stock Exchange's 100-share weighted composite index fell 14.16 points to 544.31, off an earlier high of 566.81 points. The lesser second board index shed 5.6 per cent or 10.75 points to 193.19.

BANGKOK: Thai stocks finished 0.7 per cent higher as speculators hunted for bargains at the bottom of the market, dealers said.

The Stock Exchange of Thailand (SET) main index firmed 2.55 points at 370. 28, despite another volatile day for the Thai baht which broke through 49 to the US$ before clawing back to 47.70-48.00. ``Most of the bad news is out in the open and has already been factored in,'' ABN Amro Hoare Govett analyst Rod McMillan said.

"I think it would take a major catastrophe for the market to fall much more thanit already has."

JAKARTA: Indonesian share prices rose almost 5.0 per cent on government support for state-run blue-chip companies and central bank intervention to prop up the ailin G rupiah, dealers said. The market was also boosted by rumours the government was planning further reforMs, They said. The Jakarta Stock Exchange composite index closed 16.849 points higher at 356.385.

MANILA: Philippine share prices fell 1.0 per cent with market sentiment weighed down by the peso's continued decline to all-time lows against the US dollar, brokers said. "Everyone is in a wait-and-see attitude because of the dollar and peso exchangerate," said Elmer Mercado of Keppel Securities Philippines, Inc. The Philippine Stock Exchange index lost 18.29 points to end at 1,801.38.

SEOUL: Share prices closed 4.8 per cent higher on the Korea Stock Exchange as investors reacted positively to the float of the won, dealers said. Dealers said early reports that the International Monetary Fund was unwilling tospeed up the disbursement of rescue funds to South Korea had little impact, with I nvestors instead focusing on the recovering won and steady money market rates. Despite institutional selling pressure, foreign hedge funds appeared tobe coming into the current under-priced market to bargain hunt and expand their hol dings of select blue chips. The composite index closed up 18.46 points at 404.26, off a high of 413.12.

TAIPEI: Taiwanese share prices finished 0.6 per cent lower as investors locked inprofits on technology and textiles issues amid regional Financial uncertainties, D Ealers said. The Taiwan Stock Exchange weighted price index declined 47.84 points to 8, 193.65.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.