Tokyo, February 27: Asia-Pacific stock markets extended their gains on Friday on firm regional currencies, prospects of government stimulus and lower interest rates.Tokyo, Hong Kong, Singapore, Kuala Lumpur, Seoul and Bangkok ended higher on the momentum of the previous day's gains.
Expectations of economic stimulus propped up Tokyo, while easing interbank rates and prospects of an interest rate cut underpinned gains in Hong Kong and the Philippines.
Singapore stocks rose on anticipation of a business-friendly government budget and active buying by foreign investors lifted Seoul. Bangkok won a boost from the release of positive economic indicators.
Japanese share prices ended 2 per cent higher, buoyed by hopes that the government's next economic package would include fiscal spending, brokers said. Nikkei surged 329.97 points to end at 16,831.67.
Hong Kong share prices extended their gains after hitting a record high for the year so far, rising 2.3 per cent amid easing interbank interest rates,dealers said. The Hang Seng index gained 255.91 points to close at 11,480.69, after gaining 338.04 points to close at 11,224.78 the previous day.
Singapore stock prices ended 1.3 per cent higher in anticipation of a pro-business budget, dealers said. The Straits Times index rose 20.43 points to end at 1,615.38.
Malaysian share prices rose 2.4 per cent on buying support extended by local and foreign institutional players to major-index linked counters due to a firmer ringgit.
Share prices closed 4.5 per cent higher on the Korea Stock Exchange on aggressive foreign buying which sparked institutional interest, dealers said. Foreign investors came into the market from the opening and supported the sharp gains, dealers said. Indonesian shares slipped slightly despite speculative buying of overseas-listed shares amid political uncertainty ahead of the presidential election.
``Investors feel nervous about next week with the presidential election process starting on March 1,'' a Bakrie Securities dealersaid.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
