Hong Kong, Mar 20: Asia's leading bourses gained ground on Friday with Hong Kong continuing to rally over strong support from China's new premier for its currency, and Japanese shares were also higher on a stronger yen, dealers said. Confidence meanwhile returned to the Jakarta market with investors pushing the Index up 2.5 per cent on improved sentiment over a potential agreement between the International Monetary Fund and the government on economic reforms.Hong Kong share prices broke through the 11,700-points barrier to close up 1.0 per cent on follow-through interest after premier Zhu Rongji's support of the Hong Kong dollar peg to its US counterpart powered a 2.9 per cent rise on Thursday, dealers said.
Singapore share prices lost 1.2 per cent on profit-taking, while other markets moved narrowly on thin trade amid technical adjustments. The key Hang Seng Index closed up 119.19 points at 11,564.23, off an early high of 11,715.67 points and an early low of 11,553.43, on turnover of HK$ 12.19 billion(US$ 1.57 billion).
Dealers said expectations of imminent interest rate cuts also boosted the buying interest, in particular in financial and property stocks. A dealer from Core Pacific Securities International said the late profit-taking was quite natural after the latest gains. "When the market moved closer to 12,000 points, investors appeared more cautious," the dealer said.
Tokyo: Japanese share prices closed 0.9 per cent higher on the yen's moderate gains against the dollar following intervention by the Bank of Japan, brokers said. Shares closed higher in volatile trading on the day after the Bank of Japan stepped into the currency market to prop up the yen, brokers said.
"As the yen started to rally back, buying by public funds emerged and investors moved to follow suit," a broker said. The Nikkei-225 of the Tokyo Stock Exchange gained 151.45 points to end at 16,830.47. The Topix index of all issues on the first section rose 5.49 points to 1,255.06.
"In the cash market, only Nikkeiindex-linked issues saw support, mainly on continued foreign investor buying," a broker said. The upside of share prices was capped, with any further gains likely to be pressured by renewed profit-taking ahead of the March 31 books closing, brokers said.
Singapore: Singapore stocks prices ended 1.2 per cent lower on Friday on profit-taking a day after the city state's benchmark share index soared to its highest level this year, dealers said. "Basically, people thought it was better to lock in profits and sleep well at the weekend," a dealer with a foreign stock brokerage said. "Things are so unpredictable these days," he said.
The key Straits Times Industrials index of the Stock Exchange of Singapore closed down 19.64 points to 1,679.11, off a low of 1,667.84, while the broader All-Singapore index fell 4.22 points to 433.76.
Kuala Lumpur: Malaysian share prices closed barely higher after light profit-taking on recent gains. Investors focused their sights on the central bank's annualreport due next week along with an expected revision of growth targets and government stimulus measures, dealers said. The Kuala Lumpur Stock Exchange's 100-share weighted composite index closed up 0.20 points at 731.24 on a turnover of 277.954 million shares. Dealers said the banks were expected to be the focus of attention in the coming days ahead of statements by finance minister Anwar Ibrahim and the central bank amid expectations of fresh government measures to boost the economy.
Bangkok: Thai stocks ended 0.8 per cent lower on concerns over bank capital increases and as a lacklustre censure debate dragged into a third day, dealers said. "Investors are still worried over the recapitalisation in the banking sector as well as over the extension of the vote of confidence," Asia Credit Securities chief analyst Boonsom Kasrapradit said. The SET composite index dropped 3.80 points to 499.75 points, while the SET-50 select index edged down 0.46 points to 36.71.
Jakarta: Indonesian sharesclimbed 2.5 per cent on optimism that a snext week, dealers said. "Investors are pretty positive that next week, the IMF funds will be disbursed," a dealer with a local brokerage said, adding that the rise followed an announcement at noon by finance minister Fuad Bawazier that Indonesia was no longer considering the currency board option. The Jakarta Stock Exchange composite index closed 12.854 points higher at 516.731.
Manila: Philippine share prices closed 0.6 per cent lower amid a market correction following a four-day gain, analysts said. It is "only natural that we have a correction," said a trader. The Philippine Stock Exchange index shed 14.25 points to 2,274.14.
Seoul: Share prices closed 0.8 per cent up in thin trade on the Korea Stock Exchange with foreign investors stepping back from the market, dealers said. Foreign investors seem to be cautious about entering the market at the moment given the sharp gains over the past two months and the won's recovery, said Yon Joo-Hum, dealerwith Hanhwa Securities.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
