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Tech stocks crimp Asia
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August 30, 2000: 5:49 a.m. ET
Banking, telecom and tech stocks knock Pacific Rim markets; Nikkei slips 1.4%
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LONDON (CNNfn) - Asian markets closed lower Wednesday, with technology, telecom and banking stocks leading declines as investors judged recent gains were overdone.
The Nikkei average of 225 stocks lost 240.08 points, or 1.4 percent, to close at 16,901.67, with Japan's largest international telecom carrier KDD and Fujitsu, the country's biggest maker of personal computers, among the biggest decliners.
"Techs had been leading Tokyo's recent advance along with banks. Even though growth potential is bright for high-techs, they are not free from profit-taking now and then," said Hidenori Karaki, equities general manager at Tokyo Mitsubishi Personal Securities.
 In Hong Kong, the Hang Seng dropped 144.23 points, or 0.8 percent, to 17,095.88, led by HSBC Holdings, the territory's biggest bank, on concern interest rates will rise in the U.S. after July housing data came in stronger than expected.
Singapore's Straits Times slid 11.25 points, or 0.5 percent, to 2,155.43.
Australia's S&P/ASX 200 declined 11.6 points, or 0.3 percent, to 3,357.8, with corporate earnings reports from Commonwealth Bank of Australia and telecom powerhouse Telstra disappointing investors.
Techs retreat from recent highs
In Tokyo, technology stocks gave up some of the gains made in a week-long bull-run inspired by a series of upgrades to earnings forecasts.
Fujitsu, a leading systems integrator and Internet service provider, led the high-tech sector's declines with a 6.8 percent loss, while electronics company NEC lost 4.7 percent. Fujitsu and NEC, both major chipmakers, had gained more than 12 percent in the two weeks before peaking in recent sessions, inspired by expectations of brisk semiconductor demand.
Other losers in the sector included Toshiba, which lost 3.4 percent, and high-tech bellwether Sony, down 2.7 percent. Internet investor Softbank fell 8.2 percent.
Telecom carrier KDD fell 7.4 percent and merger partner DDI dropped 6.1 percent on concern earnings will decline after DDI warned the rate of subscriber growth in its cellphone business was weak.
In the currency market, the yen firmed slightly to ¥106.09 per U.S. dollar from ¥106.43 in late trade in New York Tuesday.
The euro sank a record low against the yen of ¥94.08 from ¥94.78 in late U.S. trade, before recovering to ¥94.30. The European Central Bank is expected to raise interest rates at a meeting on Thursday, and markets have already factored in a 0.25 percent hike, traders said.
Hang Seng declines with banks
Banking stocks weakened in Hong Kong. HSBC Holdings fell 0.9 percent, Hang Seng Bank dropped 2.6 percent, and Bank of East Asia slipped 0.8 percent.
PetroChina fell 1.2 percent, extending Tuesday's slide. The oil producer was expected to announce first-half net profit of between 22 billion and 30 billion yuan ($2.7 billion to $3.6 billion) later Wednesday. For the whole of last year PetroChina made pro-forma net profit of 27 billion yuan.
Shares of index heavyweight China Mobile, the mainland's leading wireless phone company, fell 2 percent ahead of the release of its results on Thursday. The company is expected to report that first-half net profit doubled from a year ago, but analysts say that concerns remain over how it plans to fund the purchase of seven telephone networks in China.
 In Singapore, United Overseas Bank fell 2.9 percent as investigations into its role in the initial public offering of eWorldSport.com deepened. The passports of some executives of merchant banking unit UOB Asia were impounded after the bank was rapped by the Singapore Exchange for its disclosure standards as lead manager.
Australian stocks weaken
In Australia, Telstra fell 1.7 percent. The country's largest telecom company said annual net profit rose to A$3.68 billion ($2.1 billion) from A$3.49 billion the previous year.
Commonwealth Bank of Australia dropped 2.3 percent after reporting annual profit before one-time items of A$1.7 billion, in line with expectations.
Foster's Brewing Group slid 7.8 percent after the drinks company finalized a A$500 million equity placement at A$4.00 a share to part fund the purchase of Beringer Wine Estates in California for A$2.56 billion.
Elsewhere, Taiwan's Weighted index fell 3.5 percent and Jakarta's JSX lost 0.4 percent. In South Korea, the benchmark Kospi index dropped 1.7 percent, while the tech-heavy Kosdaq dipped 0.8 percent
Thailand's composite SET index rose 0.1 percent, and Manila's PHS Composite edged up 0.7 percent. 
-- from staff and wire reports
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