Tokyo weak, but other Pacific stocks gain

By staff and wire reports

HONG KONG, China -- Asian stocks moved mostly lower in Monday morning trade, with Tokyo's Nikkei index ending the morning off 1.68 percent at 10,334.62.

But there were gainers in Hong Kong, where the Hang Seng index was up 0.66 percent at noon. Taiwan's market was also up slightly.

The Australian market was also gaining in afternoon trade, though New Zealand had lost ground.

Stocks were down in South Korea. The market is closed Monday in Singapore for a public holiday.

Yen above 128 in Tokyo

In Japan, the Topix ended the morning down slightly more than the Nikkei, giving up 1.89 percent to 987.77.

The Japanese currency was the focus of attention again, as the yen burst through 128 to the dollar in morning trade. It hit its weakest level in three years at 128.03 to the U.S. dollar.

But by noon, it had stabilized a little and was trading at 127.68 going into afternoon.

That would normally boost stocks of exporters. But they were getting little joy Monday on a day characterized by bank selling and tech weakness.

Sony Corp., one of Japan's leading exporters and a tech bellwether, was down 1.4 percent at 5,720 yen as the afternoon session got underway.

Toyota Corp., Japan's largest car company, was off 0.99 percent at 2,990 yen. That was despite the yen weakness and a report that it aims to raise domestic production by 2 percent in 2002.

Chip maker Toshiba Corp. was down 1.95 percent at 452 yen.

After the Internet investor confirmed it is looking at offering cheap long-distance phone calls in Japan, Softbank Corp. stock was down 5.05 percent to 2,350 yen.

It was not an auspicious headwind into which Nomura Research Institute debuted with an initial public offering. But the influential tech and research wing of Nomura Holdings closed the morning up at 14,010 yen, 27 percent above its IPO price of 11,000 yen.

Australia blue chips gaining

In Australia, the S&P/ASX 200 index was up 0.24 percent at 3,298.6 in afternoon trade.

Most blue chip stocks were moving higher after declines last week.

But National Australia Bank continued its slide. Australia's biggest bank was down 10 cents at A$30.65.

Health-care group Mayne Nickless rose 1.5 percent to A$6.85 on speculation it is buying Singapore-based CapitaLand's stake in Parkway Holdings.

Normandy Mining was up 3.4 percent at A$1.82 as the gold producer benefits as a takeover target for Newmont Mining Corp. and AngloGold.

In New Zealand, the benchmark NZSE-40 index fell 0.3 percent at 2,045.73 in afternoon trade.

Telecom New Zealand, the largest stock, was the most active Monday, rising 2 cents to NZ$5.10.

But Fisher & Paykel Appliances fell 3.4 percent to NZ$10.00, after strong gains last week.

Kospi down in South Korea

In South Korea, the Kospi index was down 1.6 percent at 654.51 at noon. Its losses were speeding up into afternoon trade, with the index down 2.1 percent.

At noon, Samsung Electronics was down 1.2 percent at 252,000 won. Home appliance maker LG Electronics fell 7.3 percent to 22,800 won.

Chipmaker Hynix Semiconductor rose 4.45 percent to 2,465 won after raising chip prices 10 to 20 percent for December.

In Taiwan, the Taiex was up 0.25 percent at 5,500.69 shortly before noon. Bank stocks were shooting up again, with the bank subindex gaining 4.1 percent.

China Development Industrial Bank, Taiwan's largest investment bank, was up 3.5 percent at T$23.50. Merger fever has gripped Taiwanese investors after a change in the rules made takeovers more attractive.

Taiwan's chipmakers were down, with Taiwan Semiconductor Manufacturing Co. off 2.4 percent at T$81.50.

Hong Kong's Hang Seng index ended the morning session up 0.66 percent at 11,541.38, after it opened down.

Property-to-telecom conglomerate Hutchison Whampoa was up strongly, gaining 1.69 percent to HK$75.25, after J.P. Morgan made the company one of its stock picks for 2002.

Oil giant CNOOC, China's No. 3 producer, rose 2.13 percent to HK$7.20 after saying it would increases its 2002 output.

China Mobile, the mainland's largest cell-phone maker, was up 0.35 percent at HK$28.30.

Reuters contributed to this report.