TOKYO, Dec 6: Asia’s main stock exchanges made good gains on Thursday, bouyed by a Wall Street rally on optimism over a recovery for the US economy.

The strong momentum was most prevalent in Asia’s technology-dominated indices with Taipei and Singapore, both heavily dependent on chipmaking, closing up 5.8 per cent and 1.6 per cent respectively.

Tokyo share prices rose due to the Wall Street rally supporting hi-tech issues and despite the collapse of a Japanese construction firm, dealers said.

The Nikkei-225 average of the Tokyo Stock Exchange closed up 143.47 points at 10,857.28.

Basically, the Tokyo market was lifted by higher share prices not only in the United States but also in Europe, said Kokusai Securities equity manager Hidenori Kawasaki. Investors were hopeful of economic recovery there.

But the market turned top heavy in the afternoon after construction firm Aoki Corp. filed for court protection from creditors amid an economic slump with about $3.1 billion in liabilities.

The news momentarily depressed Aoki’s main lender Asahi Bank and other financial institutions but the market was quick to restore calm with banks recouping losses, Kawasaki said.

Sakura Friend Securities broker Toshihiko Matsuno said he doubted if Japan could follow the US’ recovery path despite an optimistic market mood.

In the US on Wednesday, the tech-heavy Nasdaq composite surged 4.3 per cent to 2,046.84 while the Dow Jones gained 2.2 per cent to close at 10,114.29.

HONG KONG: Hong Kong share prices rose 0.6 per cent supported by Wall Street’s gains, but the upside was capped by profit-taking.

The key Hang Seng index gained 67.40 points to close at 11,745.84, off a high of 11,957.83.

Y.K. Chan, an analyst with CEF Brokerage, said profit-taking pared some of the gains from early trade.

As the Hang Seng index approached 12,000 points, profit-taking began to surface, he said.

However, underlying sentiment was positive, as evidenced by the expansion in market turnover, he said.

SYDNEY: The Australian share market rose 0.2 per cent despite a weak performance in the banking sector.

The All Ordinaries index gained 6.8 points to 3,293.1 while the SP/ASX 200 added 5.0 points to 3,352.8.

Dicksons broker Diane Jenner said the market had already factored in Wednesday’s 25 basis point interest rate cut by the Reserve Bank of Australia and remained conservative despite the bouyant Wall Street performance.

There was no major selloff, no chasing after stocks either, she said.

SINGAPORE: Singapore share prices rose for the fifth trading day in a row, closing 1.6 per cent higher on buying by institutional investors following the gains in US stocks.

The key Straits Times index advanced 24.93 points to settle at 1,618.12, while the broader All Singapore Equities benchmark added 4.75 points to 422.9.

The key index has risen 163.72 points or 11.2 per cent since November 29 when it fell below the 1,500-point level.

Technology stocks remained the star performers amid early signs of a recovery in the semiconductor industry, with banks helping to boost the rally.

In a way, it (rally) is a good sign, looking ahead for the tech sector’s hopes for a recovery by the second half of next year, said Loh Hoon Sun, managing director of Phillip Securities.

KUALA LUMPUR: Malaysian share prices closed 0.5 per cent higher on extended institutional buying and year-end window-dressing.

The Kuala Lumpur Stock Exchange composite index rose 3.37 points to finish at 656.38, off a high of 663.65.

Dealers said the market opened higher buoyed by Wall Street, with foreign funds also showing some interest, but the gains were pared by profit-taking.

It’s a spillover from the US. There is hardly any strong news on the local scene. People are generally anticipating a year-end rally, said a local institutional dealer.

There are some foreign funds nibbling in the market but I don’t think they came in a big way. They are also anticipating the year-end window dressing to come in.

MUMBAI: Indian shares closed higher on the Bombay Stock Exchange (BSE) on sustained buying in technology stocks for the third consecutive day.

The benchmark-30 share BSE sensitive index rose 21.93 points to close at 3,431.57.

Dealers said profit-taking at higher levels curbed the rally.

Profit taking came in the last two hours of trade. During the day share prices were higher led by technology stocks, said a dealer with a domestic brokerage.

Dealers said Wall Street’s gains firmed up sentiment, along with Finance Minister Yashwant Sinha’s statement that the government was ready to spend on infrastructure even if the fiscal deficit rises.

JAKARTA: Indonesian share prices closed marginally higher, coming off early gains after news the government hoped to finalise the placement of up to 15 per cent of Telkom shares by next week.

The delay of the placement has been an overhang (to Telkom shares), but now that the placement looks like its going through this year, people are worried it will be below market price, a dealer with a foreign brokerage said.

News that Mexico’s Cemex remained concerned about legal aspects of Indonesian cement company Semen Gresik’s privatisation offset early gains on the back of regional market strength, dealers said.

The Jakarta Stock Exchange composite index closed up 1.413 points or 0.4 per cent at 379.355.

SEOUL: South Korean share prices closed down marginally on profit-taking and following heavy selling of futures contracts by foreign investors.

The composite index fell 1.70 points or 0.2 per cent to 686.61.

KFB Securities analyst Lee Sang-Jun said futures-related selling pressure ahead of the December options expiry next Thursday will continue to weigh down the share market.

However, Samsung Electronics’ strong gains will provide the broader market a cushion, Lee said.

The market opened sharply higher led by Samsung Electronics, the world’s largest memory chip maker, on follow-through buying after a sharp gain Wednesday but the rise was offset by institutional profit-taking in later trade.

SHANGHAI: China’s Shanghai B-shares closed 1.3 per cent higher in volatile trade with late buying pushing shares up off their intraday lows.

The Shanghai B-share index added 2.16 points to close at 169.03 while the A-share index edged up 5.8 points or 0.3 per cent to 1,825.31.

WELLINGTON: A sharp rise in US stocks sent New Zealand share prices up 1.3 per cent.

The benchmark NZSE40 index closed up 26.13 points at 2,075.47.

It was a bit of a stronger day, led by some non-manufacturing growth in the US economy, Credit Suisse First Boston broker James Snell said.—AFP