Only Taiwan dampened the mood, recording further falls on political concerns. Share prices in Tokyo jumped 2.3 per cent as investors snapped up high-technology issues on the back of a rally by Wall Street's Nasdaq composite. Overnight the Nasdaq composite index surged 178.15 points (5.58 percent) to close at 3,369.55 and the Dow Jones industrials gained 135.37 points (1.25 percent) to 10,971.14. The Tokyo Stock Exchange's Nikkei-225 index gained 332.79 points to close at 14,872.39. The Topix benchmark of all first-section issues rose 38.49 points to 1,418.45. The Nikkei accelerated a rally that saw it close Tuesday 0.5 per cent above a 20-month low plumbed the previous day.

"We are seeing the kind of strong rebound that we haven't seen for a good while," said Daiwa SB Capital Markets senior market analyst Kazunori Jinnai. "Investors have taken heart from the Nasdaq rally and are boosting hi-tech shares, along with the issues that reported good interim results yesterday," he said.

Hong Kong:
Share prices rose 3.0 per cent on bargain hunting following overnight gains on Wall Street. The key Hang Seng index gained 453.67 points to close at 15,349.01 on a turnover of 12.86 billion Hong Kong dollars (1.65 billion US). Dealers said properties and financials topped the gainers on expectations the United States will cut interest rates next year, although some brokerages remain pessimistic about the residential property market.

Peter Lai, Associate Director of OCBC Securities, said the market continued to move higher on the back of the gains on Wall Street. He said bargain hunting was substantial in properties and financials after their underperformance last week. "Investors are positive about an interest rate cut in the US next year," he said. Marty Chan, an analyst with Polaris Securities, said the Hang Seng index was higher on the back of gains on Wall Street and a positive performance by Japanese equities. "The blue chips were sharply higher in the afternoon, as the European markets opened. The upside was across the board today," he said.

Singapore:
Singapore share prices soared 3.2 per cent on robust gains by NatSteel Electronics following news that US firm Solectron Corp. was poised to make a 2.4 billion US dollar cash bid for the company. The Straits Times Index surged 63.47 points to 2,040.01. In a statement from its Singapore office, Solectron said it already has an agreement with the holders of 43 percent of NatSteel Electronics shares. These include the Singapore listed parent company NatSteel Ltd., key members of the NatSteel Electronics management team and the Singapore government investment arm Temasek Capital.

Solectron is the world's largest electronics contract manufacturer, and NatSteel is the world's sixth largest electronics manufacturing services provider. Meanwhile, Singapore Airlines Ltd. (SIA) shares were hammered following the crash of a Boeing 747 in Taiwan, but recovered much of the lost ground ate in the session.

Kuala Lumpur:
Malaysian share prices closed 0.8 per cent higher on support from local funds after steep losses in the past two days. The Kuala Lumpur Stock Exchange composite index rose 5.76 points to finish at 758.12, off the day's high of 763.32. Trading was volatile throughout the day as early gains were gradually eroded by selling pressure and the market posted losses in afternoon trade.

Seoul:
South Korean share prices soared 6.7 per cent as foreign buyers registered their approval of a strong government statement on commitment to reform and corporate restructuring. The composite index closed up 34.28 points at 548.76, off a high of 550 points. Volume was 364.2 million shares worth 2.2 trillion won (1.9 billion dollars).

Dealers said buying was led by interest in large-cap stocks and encouraged by Nasdaq's overnight surge of 5.58 per cent. Shinyoung Securities analyst Kim In-Soo said persistent foreign buying on the government's restated commitment to corporate reforms drove the index sharply higher. "Investor sentiment was seen as significantly buoyed by strong foreign interest amid a stabilising US market."

Manila: Financial markets in the Philippines are closed on Wednesday and Thursday for public holidays. They will reopen on Friday.Taipei: Taiwanese share prices closed 2.1 per cent lower on sustained concern at a concerted bid by Opposition parties to impeach President Chen Shui-bian. The Taiwan Stock Exchange weighted price index fell 119.16 points to 5,425.02. The political crisis was sparked by the government's decision to scrap a partly built 5.6 billion US dollar nuclear power plant.

Bangkok:
Thai stocks gained 2.9 per cent in a positive reaction to the cabinet's approval of a 1.2 billion dollar economic stimulus package. Interest was particularly strong in telecommunications, electronics and energy, sectors which stand to gain from the stimulus package. Sentiment also improved due to the Bangkok exchange's rise over the key resistance level of 276 points.

Jakarta:
Indonesian share prices closed 1.0 per cent higher led by cigarette firms, with the strengthening rupiah boosting broad market sentiment. The Jakarta Stock Exchange composite index closed up 4.015 points at 409.362.