Tokyo stocks end year on high note


Mobile phone leader DoCoMo and other technology stocks closed higher Friday

By staff and wire reports

TOKYO, Japan -- Tokyo stocks closed higher Friday, the last trading session of the year, amid expectations the Japanese government will inject public funds into the embattled banking system.

Mobile phone giant NTT DoCoMo, consumer electronics leader Sony and big bank Mizuho Holding were among the top gainers, as were export-oriented companies such as carmakers Toyota and Nissan.

Prospects for Japanese exporters, including electronics makers, are now seen as brighter following the recent decline in the yen.

But the Japanese currency strengthened against the U.S. dollar Friday, trading at 131.13 near midday. On Thursday, the yen sank to a three-year low of 132.08.

The benchmark Nikkei 225 average rose 85.01 points, or 0.81 percent, to end the half-day session at 10,542.62.

That was the lowest closing figure for a year since 1983 when the index ended at 9,893.82.

The broader, capital-weighted Topix closed up 18.41 points, or 1.82 percent, to close at 1,031.14 Friday. It had gained 19.72 points, or 1.98 percent, the day before.

In the past 12 months, the Nikkei 225 has fallen a total of 3,243.07 points, or 23.52 percent, amid pessimism over Japan's economy.

Korea leads other markets


The yen has been in decline for the past month, but strengthened a little Friday

Other markets in the region also were mainly higher, with Korea the star performer.

The Kospi put on 25.15 points or more than 3.7 percent to 693.70, buoyed by strong gains among tech heavyweights SK Telecom and Samsung Electronics.

Hynix Semiconductor added 4.3 percent to 2420 won on reports that it will sell its DRAM operations to U.S.-based Micron Technology. Hynix later denied the reports.

In Australia, the benchmark S&P/ASX200 closed 9.5 points or 0.3 percent higher at 3427.1.

Market heavyweight, media group News Corp added 0.64 percent to A$15.67. Big banks CBA, NAB and ANZ were higher, but Westpac eased a little. CBA put on 0.57 percent to A$30.18, while St George Bank rose 1 percent to A$18.84.

Telcos were either flat or down slightly. Telstra lost 4 cents to A$5.44

New Zealand finished firmer, with the NZSE Top 40 up 1 percent to 2060.90.

In Hong Kong, the Hang Seng index put on 56.49 points or half a percent to 11,417 in late trade.

China Mobile gained 0.55 percent to HK$27.45, while diversified conglomerate Hutchison Whampoa rose 0.67 percent to HK$75.

HSBC added 25 cents or 0.25 percent to HK$92. Banking sources said Friday that HSBC is set to sign an agreement on Saturday to buy a minority stake in China's Bank of Shanghai.

Taiwan's Taiex finished strongly after dipping earlier in the day. It closed 65.3 points or 1.22 percent higher at 5398.28. Among tech stocks, Quanta Computer continued to gain, adding T$3.5 or 3.27 percent to T$110.5.

Chip foundry TSMC jumped 3.66 percent, putting on T$3 to T$85. Rival UMC was up 3.35 percent to T$49.30.

In Singapore, the Straits Times index was up 13.71 points to 1625.72, while Mumbai's BSE Sensex was down about 9 points to 3122 in afternoon trade.

Banks may get a boost

In Tokyo, the market was boosted by media reports that Prime Minister Junichiro Koizumi will announce plans early next year to inject public funds into the country's ailing banks.

Among bank stocks, Mizuho Holdings led the way, putting on 20,000 yen or 8.1 percent to 267,000 yen.

UFJ added 5.5 percent to 289,000 yen, Mitsubishi Tokyo Financial Group rose 34,000 yen or 4 percent to 879,000 yen and Sumitomo Mitsui Banking Corp added 21 yen or 3.9 percent to 555 yen.

Koizumi described Japan's economic condition as "very serious" and promised measures to head off a crisis that could come as early as February or March, the Asahi newspaper reported, quoting Liberal Democratic Party Secretary General Taku Yamasaki.

The yen has been under continued selling pressure amid the bleak outlook over Japan's economy.

Among techs, chipmakers Toshiba, Hitachi and NEC gained, but Fujitsu was unchanged after reports it would sell its Nifty Internet unit to Sony Corp. Sony added 170 yen or 2.9 percent to 5990 yen.

NTT DoCoMo was up 3.36 percent to 1.54 million yen, while parent NTT added 4.15 percent to 427,000 yen. Japan Telecom and KDDI were also stronger.

The Tokyo Stock Exchange will be closed from December 29 for New Year's holidays, before reopening on January 4.