August 23, 2006	Wednesday	Rajab 27, 1427

HONG KONG, Aug 22: Asian stocks ignored a weak performance by Wall Street overnight and closed mostly higher on Tuesday with bargain hunting and domestic issues supporting investor sentiment.

Dealers said markets which were sold off after China increased its interest rates late last week had recovered on bargain hunting resulting Shanghai, Hong Kong, Taipei, Seoul and Singapore registering solid gains.

Bright economic prospects supported Tokyo helping its benchmark to the best finish on the day with a 1.33 per cent gain while Sydney rose on improved commodity prices.

However, dealers sounded a note of caution over oil prices with Tehran determined to press ahead with its nuclear programme despite an August 31 UN Security Council deadline to suspend sensitive fuel cycle work.

Such concerns made an impact on Bangkok where the benchmark closed flat and Manila, which fell 0.50 per cent. Jakarta was lower on profit taking.

TOKYO: Share prices jumped 1.33 per cent, closing at the highest level for over three months amid optimism about prospects for the local economy.

The Nikkei-225 index rose 212.13 points to 16,181.17. Volume fell to 1.66 billion shares from 1.87 billion Monday.

HONG KONG: Share prices closed 0.83 per cent higher as investors stepped up bargain-hunting in late trade following a sharp fall Monday on concerns over China's interest rate rise.Dealers said financial stocks drew buying interest after the steep falls, while telecom stocks such as China Netcom and China Unicom were supported ahead of their first-half results.

The Hang Seng Index closed up 141.87 points at 17,149.75. Turnover was 21.8 billion Hong Kong dollars (2.79 billion US dollars).

SYDNEY: Share prices closed 0.25 per cent higher as commodity and energy price increases overnight led the market up.

The SP/ASX 200 rose 12.6 points to 5,076.2. A total of 1.13 billion shares worth 3.85 billion dollars (2.9 billion US) changed hands.

SINGAPORE: Share prices closed 0.56 per cent higher as investors hunted for bargains following the previous day's sharp fall on concerns over China's interest rate increase.

The Straits Times Index rose 13.69 points to 2,480.99. Volumes totalled 981 million shares worth one billion Singapore dollars (632 million US).

KUALA LUMPUR: Share prices closed firmer led by select blue chips and plantation stocks but trade volume was thin ahead of key economic data and earnings announcements.

The composite index closed up 2.41 points at 945.02 on volume of 385.22 million shares valued at 695.56 million ringgit (199 million dollars).

JAKARTA: Share prices closed 0.19 per cent lower amid profit-taking led by Perusahaan Gas Negara after the market posted significant gains early last week.

The composite index closed down 2.739 points at 1,435.029 on volume of 1.12 billion shares valued at 2.00 trillion rupiah (220.46 million dollars).

WELLINGTON: Share prices closed little changed, with a rebound in market leader Telecom saving the benchmark index from a fourth successive fall.

The NZX-50 gross index rose 2.38 points to 3,426.78 on turnover worth 145.8m New Zealand dollars (US$93.4m).—AFP