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HONG KONG, Jan 14: Share prices in Asia mostly traded lower on Monday after Wall Street losses amid concerns about the US economy.
However some markets including Singapore and Seoul went the other way on hopes of a sooner-than-expected economic recovery led by the hi-tech sector.
Hong Kong stocks rose 0.4 per cent on late selective bargain hunting, mainly in telecom stocks after recent losses, dealers said. The key Hang Seng index gained 42.97 points to close at 11,209.43.
Dealers said property stocks reversed most of their earlier losses on profit-taking, as intermittent bargain-hunting helped push select counters into positive territory by close of trade.
Peter Lai, associate director of OCBC Securities, said market sentiment deteriorated as a result of the cautious comments by US Federal Reserve chairman Alan Greenspan, who warned of significant near-term risks for the US economy.
Freddie Kwan, executive director with Amsteel Securities, said the Hang Seng index had a “volatile” session after Greenspan’s remarks.
He said the market lacked direction as reflected by thin turnover.
Players are lacking confidence to buy, but they are not willing to sell either, as prices are still not hitting their targets, he said.
SYDNEY: Australian shares dipped 0.3 per cent as investors reacted here to a warning by the Fed’s Greenspan that the US economy still faced risks.
The All Ordinaries index fell 9.7 points to 3,350.4 while the SP/ASX 200 dropped 10.3 points to 3,407.3.
Shaw Stockbroking head dealer James Spiteri said the tone of the market was set by Greenspan’s remarks that while the US economy was stabilising, it still faced significant risks.
SINGAPORE: Singapore share prices closed 1.6 per cent up on hopes the economy will recover earlier than expected.
The Straits Times Index finished 27.45 points up at 1,731.52.
While share prices may succumb to profit-taking due to the recent gains, dealers said optimism for a quick turnaround will provide support to the market.
KUALA LUMPUR: Malaysian share prices ended 0.7 per cent lower after Wall Street’s losses late last week amid concerns over the US economy.
The Kuala Lumpur Stock Exchange composite index fell 4.59 points to finish at 698.45, off a low of 695.08.
An institutional dealer with a local brokerage said some local support was seen in afternoon trade, helping share prices come off their lows, but it was insufficient to turn the market around.
JAKARTA: Indonesian share prices closed one per cent higher on foreign investor interest but there was profit-taking pressure after strong gains last week.
The Jakarta Stock Exchange composite index closed up 4.062 points at 415.837.
A dealer with Panin Securities said buying interest in blue chips other than Sampoerna and Telkom was subdued.
WELLINGTON: New Zealand’s sharemarket retreated 1.1 per cent, mainly because Telecom pulled back 2.6 per cent.
Dealers said it was not surprising investors took profits from Telecom, which had until Monday risen every trading day this year for a nine per cent gain.
The NZSE-40 capital index fell 22.21 to 2,091.30.
MUMBAI: Share prices closed 1.3 percent higher on the Bombay Stock Exchange (BSE) after a weekend speech by Pakistan President Pervez Musharraf eased fears of a South Asian conflict.
The 30-share BSE sensitive index rose 44.96 points to close at 3,407.84.—AFP
