|
Tokyo makes steady gains
|
 |
June 4, 1999: 5:13 a.m. ET
Tokyo climbs as U.S. jobs data weigh; HK slides into the red
|
LONDON (CNNfn) - Japanese shares ended higher Friday despite extra caution ahead of key U.S. jobs data and a brief drop inspired by a news report of regulatory action against a major insurer. Hong Kong gave up early gains to close lower as investors sought to keep a low profile before the U.S. numbers.
Across Asia, traders kept their fingers crossed that the U.S. numbers will show mild employment growth - a development seen as less likely to give the Federal Reserve board an immediate pretext for hiking interest rates.
Japan's benchmark Nikkei 225 index, unsettled in recent days by Chinese currency jitters and economic policy uncertainty at home, closed up 0.45 percent, or 73.25 points, at 16,300.75.
A news report that Japan's Financial Supervisory Agency had ordered Toho Mutual Life Insurance Co. to cease operations touched off a brief sell-off. The report led some traders to close long positions, though market losses were seen as minimal, as one FSA spokesman in Tokyo told Reuters said he wasn't aware of any halt in Toho's operations.
Tokyo drew some support from buying in secondary stocks, though caution before the May jobs report kept bigger investors out of the picture. Further rattling Asia's largest market was a continued guessing game as to whether an economic stimulus plan due out shortly will prove effective.
After ending its morning session nearly half a percent higher, Hong Kong's Hang Seng executed an about-face in the afternoon. The index finished down 0.45 percent, or 56.07 points, at 12,415.54 amid position-squaring.
Cathay Pacific, mired in a drawn-out pay dispute with pilots, ended unchanged at HK$11.350. Pilots continued to call in sick Friday, leading to flight cancellations.
HK Telecom stock closed down HK$0.05 at HK$18.10 after the company said it planned to form an e-commerce alliance with Australia's Secure Network Solutions aimed at Hong Kong customers.
The market got an early boost from an 85-point overnight advance on the Dow Jones Industrial average, a gain moderated by Thursday's prevailing wait-and-see sentiment on Wall Street ahead of jobs data.
The tech-rich Nasdaq Composite handed back morning gains Thursday, sliding 29.04 points, or 1.2 percent, to 2,403.37 as analysts described Wall Street as being on an inflation-watch.
In Tokyo, telecom giant Nippon Telegraph and Telephone Corp. said it will pay $758 million for a 15 percent stake in Philippine Long Distance Telephone Co., according to initial reports. PLDT had said in the past it would be receptive to an overseas ally taking a 10 percent stake in the company.
Toyota Gosei Co., 42 percent owned by Toyota motor Corp., announced plans Friday to build a resin and rubber parts plant in the U.K. Toyota Gosei shares slipped fractionally, to 1,248 yen.
Chip maker NEC Corp. said Friday it would try to refrain from any major investments in the future of DRAM semiconductors, but instead increase production of the chips at Taiwan foundries, Reuters reported. NEC stock climbed 1.4 percent to close at 1,319 yen.
In another corner of the high-tech arena, Sanyo Electric Co. announced plans to supply 200,000 cell phones to South Korean phone carrier Shinsegi Telecomm Inc. Sanyo shares ended 3.1 percent higher at 430 yen.
Shares of Softbank slipped just over 2 percent a day after the firm announced an online book-retailing venture with 7-Eleven Japan, marking a milestone for Japan's Internet evolution. Shares of 7-eleven fell 6.5 percent to 11,080 yen.
Singapore's Straits Times index also reversed course in late trade, slipping more than 1 percent to 1,920.01 in late afternoon.
Australia's All Ordinaries retreated 0.4 percent in a nervous market to end at 2,929.3, while Kuala Lumpur stocks gave up nearly three quarters of a percent on fears of a rise in U.S. interest rates that could dampen exports to the key U.S. market.
Philippine shares ended more than 1 percent lower, at 2,354.60, dragged down by a ratings downgrade on eight banks by Moody's Investors Service. Moody's said it acted amid suggestions of asset deterioration in the financial sector.
Jakarta stocks, the regional outperformers of the day - sprinted more than 4 percent by late afternoon amid a technically-driven bounce. Traders said the relatively peaceful campaign atmosphere ahead of the country's general election Monday had cheered investors. In Seoul, the Kospi ended almost 2.5 percent higher, at 797.50.
Thai shares were up just under 1 percent, while Taiwan's weighted index closed up 0.2 percent.
--from staff and wire reports
|
|
|
|
|
 |
|
