Tokyo up, rest mixed on poor sentiment


Investors in Tokyo cheered the government's tougher stance on short sales

HONG KONG, China -- Asian markets were mixed by midday Friday. Tokyo firmed on the government's tougher stance on short sales, but Australia and Hong Kong slipped.

The tech-sensitive Nikkei average was up 86.02 points or 0.81 percent at 10,673.85 by the midday break, while the capital-weighted Topix index gained 4.64 points or 0.46 percent to 1,018.44.

In other regional markets, disappointment over corporate earnings pushed Australian shares into the red, while New Zealand also slipped.

Hong Kong shares were also lower as investors await recommendations of a government advisory panel on potential new taxes.

Singapore shares rose in morning trade, aided by buying of index stocks. The Straits Times index was up 11.5 points or 0.67 percent to 1727 near midday.

Taiwan initially fell as tech shares tracked Wall Street's overnight decline, before sneaking back into the black. The Taiex was up about 24 points or 0.4 percent to 5720 by early afternoon.

Korea closed

South Korea's stock market was closed Friday for the Independence Day holiday.

On Thursday, the benchmark Kospi had finished down 0.26 percent at 819.99, while the over-the-counter Kosdaq index closed up 1.51 percent at 78.71.

In Tokyo, stocks were also bolstered the Bank of Japan's decision Thursday to ease monetary conditions ahead of the critical end-March book closings to provide as much liquidity as needed.

Sony, the world's biggest audio-visual products manufacturer, bounced 3.13 percent to 6,270 yen. Rival Kyocera also rose 1.0 percent at 8,100 yen.

Banks were higher, led by UFJ Holdings, which rose 1.41 percent at 288,000.

Mizuho Holdings, the world's largest bank by assets, gained 0.79 percent at 255,000 yen, while Sumitomo Mitsui added 1.01 percent at 501 yen.

In the auto sector, Toyota Motor was unchanged at 3,420 yen, while Honda Motor dropped 0.37 percent at 5,330 yen.

Disappointing earnings

Australian shares slipped by noon over dismal corporate earnings.

The benchmark S&P/ASX 200 index fell 15.6 points or 0.5 percent to 3,398.7

Australian dairy group National Foods slumped 6.3 percent to A$3.00 after its interim results fell just short of market expectations.

Troubled Anaconda Nickel plunged as much as 35 percent and wase last down 26 percent at 51 cents, after posting a A$457.5 million loss for the half year on Thursday.

Elsewhere in the market, media giant News Corp edged up four cents to A$12.24, but major banks and resources were all weaker.

BHP Billiton fell 1.4 percent to A$11.62 and rival Rio Tinto lost 2.2 percent to A$39.14.

Tracking Wall Street

Taiwan stocks were down in early trade, before strengthening. Analysts said improving economic signals offered support.

Taiwan's statistics agency said last week it expects GDP to group 2.29 percent in 2002 after its full-year contraction last year.

Winbond slipped T$1.50 or 5.8 percent to T$24.50, while rival Mosel Vitelic was off T$1.00 or 5.4 percent to T$17.50.

On Thursday, the Down Jones Industrial Average dropped 0.21 percent, while the tech-laced Nasdaq Composite Index slipped 1.16 percent.

In Hong Kong, stocks extended losses over the last two days early Friday as investor stayed on the sidelines. They are waiting for recommendations of a government advisory panel on potential new taxes aimed at curbing a growing budget deficit.

The benchmark Hang Seng Index was down 0.41 percent at 10,448.08.

Among the top blue chip losers were shares of property groups New World Development and Sino Land, which fell 0.79 percent and 1.89 percent respectively.

The government advisory panel on taxes will announce its recommendations later in the day.

Shares of Asia's top airline Cathay Pacific also slipped 1.28 percent to HK$1.55 on rising crude prices due to political uncertainties in Iraq and Venezuela.

Singapore shares moved higher, lifted by buying of index stocks and banks after cheery economic data.

The Straits Times Index rose 0.67 percent to 1727.

Banks rose in tandem with property stocks. DBS gained 1.48 percent to S$13.70, while UOB rose 10 cents to S$14.