0
TOKYO, Aug 18: Asian stock markets rose on Monday amid growing confidence about the global economy.
Tokyo led the region higher with share prices jumping 1.72 per cent to close above 10,000 points for the first time in almost a year.
The Tokyo Stock Exchange’s Nikkei-225 average gained 169.50 points to end the day at 10,032.97 — the first close above the symbolic level since August 26, 2002. On that day, the headline index finished at 10,067.74 points.
I think the market will entrench its footing, marching forward from the 10,000-point level from now on, said Naohiko Sasaki, a fund manager at Kokusai Asset Management.
Banks and steel makers led the advance, while retailers such as Aeon and Ito Yokado fell due to concerns about the impact on profits and sales of an unusually cold, wet summer in Japan.
The broader Topix index of all first-section issues gained 1.16 percent or 11.22 points to 976.00.
Volume totaled an estimated 1.44 billion shares, up from 1.39 billion shares on Friday. Gainers outweighed decliners by more than four to one — 1,165 to 273 — with 84 stocks unchanged.
The solid performance on Wall Street after the massive power outage last Friday underscored the underlying bull trend on the global equity market at the moment, said Tsuyoshi Segawa, equity strategist at Shinko Securities.
Japan’s mega banks advanced on expectations of a sharp turnaround in their financial performance, dealers said.
HONG KONG: Share prices in Hong Kong closed 0.96 per cent higher at a new 52-week high in a rally fueled in good part by overseas funds as well as local retail investment.
The key Hang Seng index gained 100.48 points to close at 10,525.04 — its highest level since July last year.
Now is really one of those crazy times because everyone is trying to get back in the market, said Jackson Wong, investment manager at Tanrich Securities.
Funds that shifted money out of Hong Kong stocks, when the territory was struck with the flu-like SARS virus in the second quarter of the year, have been scrambling to buy back in the past couple of weeks, Wong said.
SYDNEY: Australian share prices closed 0.52 per cent higher as resources giants BHP Billiton and Rio Tinto gained amid growing confidence in the global economic outlook and subsequent demand for commodities.
The benchmark SP/ASX 200 index rose 16.5 points or 0.52 per cent to 3,164.5, off a high of 3,169.3 and a low of 3,151.8, while the All Ordinaries index was up 15.5 points to 3,158.3.
The resources sector has been the major driver of the market today and I think there is a rising view that the outlook for demand is improving, said Ausbil Dexia director Paul Xiradis.
Commodities prices have improved over the past few weeks and recent data from the US points to a more encouraging outlook.
SINGAPORE: Singapore share prices rose by 1.75 per cent on bargain-hunting in blue chips as the market saw proposed changes in the state-run pension fund positively.
The Straits Times Index rose 27.92 points to settle at 1,622.24 and the broader All Singapore Equities index closed at 440.7 points, up 8.07 points.
The market shrugged aside news that the government is looking at cutting the contribution rate to the state-run Central Provident Fund (CPF), dealers said.
Prime Minister Goh Chok Tong said in his National Day rally speech late Sunday that the CPF rate should be lowered to as low as 30 per cent if necessary in the long-term.
Dealers said that apart from property developers, which are expected to be most affected by the cuts, other companies are expected to benefit from the decision as it would effectively lower wages.
KUALA LUMPUR: Malaysian share prices closed flat due to a lack of investor interest.
The Kuala Lumpur Stock Exchange composite index rose 0.33 points or 0.05 per cent to finish at 728.84.
A local brokerage dealer lamented the lack of market-moving news.
There was nothing exciting... no dramatic announcement and no economic measures announced, he said.
There was some short-term retail investor trading interest in Mesdaq stocks and other on the second board, but the blue chips were lagging, he added.
MUMBAI: Indian shares closed 1.44 per cent higher on hectic buying in steel counters and other blue chips, with investors completely ignoring a no-confidence motion in parliament against the government.
The Bombay Stock Exchange’s 30-share index rose 56.53 points to close at 3,977.73.
Dealers said aggressive buying by funds and traders was seen in steel counters led by Tata Steel and Steel Authority on reports of a product price hike by these manufacturers amid a strong economic growth.
They said the volumes in these counters were also higher on both the BSE as well as the National Stock Exchange.
WELLINGTON: New Zealand shares closed 0.85 per cent higher despite a low-key day of trading.
The NZSX-50 gross index ended up 18.65 points at 2,208.93.
All in all a lacklustre day with a good result at the end, said ASB Securities broker Andrew Kelleher.
It’s been a fairly quiet day actually, certainly turnover seems to indicate pretty slim outside of Telecom.—AFP
