Tokyo up, Asian markets mixed


DoCoMo shares dropped after the company said it expects to sign up 30 percent fewer subscribers this year

HONG KONG, China -- Asian markets were mixed at the close Wednesday, with Japan and Australia up strongly, but other bourses were dragged down by Nasdaq's slump.

In Tokyo, the benchmark Nikkei average finished up 104.09 points at 11,218.58 for a gain of just under 1 percent. The broader capital-weighted Topix index put on 6.43 points, or 0.6 percent, to 1078.09.

Major Japanese banks extended their gains into a sixth day, UFJ Holdings leading the way with a surge of more than 11 percent. Mizuho Holdings was up almost 7 percent.

Those gains came after reports the results of special inspections by the Financial Services Agency (FSA) will show that bad-loan losses may not be as high as feared.

But a slump in U.S. tech shares dampened sentiment in most other Asian markets, particularly Taiwan, Singapore and Hong Kong.

A day after IBM warned of disappointing profits, the tech-heavy Nasdaq slumped 2.4 percent Tuesday to 1742.57, while the Dow Jones industrial average dropped 40.41 points, or 0.39 percent, to 10,208.67.

In South Korea, the Kospi ended sharply lower, down 32.64 points or 3.67 percent to 856.03. That came ahead of Thursday's expiry of key stock options.

In Australia the market shrugged off Nasdaq's decline, with big banks and resources stocks leading the way.

Improved transparency


Banks were the big gainers in Tokyo on Wednesday, led by UFJ Holdings

Tokyo shares opened lower Wednesday, but sentiment picked up on views that Japan's banking system would improve transparency and gain in strength.

Mizuho Holdings, the world's biggest bank by assets, jumped 21,000 yen or 6.95 percent to 323,000 yen. UFJ Holdings surged 33,000 yen or 11.07 percent to 331,000 yen, while Sumitomo Mitsui Banking Corp rose 5.77 percent to 587 yen.

The other member of the Big Four, Mitsubishi Tokyo Financial Group, added 34,000 yen or 3.93 percent to 899,000 yen.

But worries over U.S. earnings weighed on some of the major Japanese high-tech issues. Copier and camera maker Canon dropped 1.67 percent to 4,720 yen.

Japan's dominant mobile phone carrier NTT DoCoMo tumbled 5.38 percent to 334,00 yen after chief executive Keiji Tachikawa told Reuters news agency it expects to sign up 30 percent fewer new subscribers in the current business year.

Parent NTT fell 4.55 percent to 482,000 yen.

In South Korea, memory chipmaker Samsung Electronics lost 3.52 percent to 356,000 won, while top mobile carrier SK Telecom fell 3.62 percent to 266,000 won. Hynix Semiconductor was flat at 1270 won.

Daewoo Motor Sales was a rare gainer, up 6.6 percent to 9700 won on reports that GM and Daewoo unions are near agreement.

Better bond market

The Australian share market extended its gains as the day wore on, with the key S&P/ASX 200 index closing up 14 points, or 0.42 percent, at 3,377.4.

A better bond market helped nudge banks higher. The National Australia Bank climbed 1 percent to A$33.35, while ANZ gained 12 cents or 0.67 percent to A$17.93 after announcing a new funds management joint venture with ING.

Resources giant BHP Billiton rose 18 cents to A$11.96, while rival Rio Tinto added 65 cents or 1.7 percent to A$38.63.

But market heavyweight and media group News Corp lost 0.24 percent to A$12.48 on concerns it would take more assets of Germany's debt-ridden Kirch Group.

In Taiwan, stocks eased slightlly, despite good March sales. The benchmark Taiex lost 10.64 points, or 0.18 percent, to 6,059.21.

Chip foundry Taiwan Semiconductor Manufacturing lost T$1.00, or 1.09 percent, to T$90.50. Rival United Microelectronics Corp slipped 2.88 percent to T$50.50.

Singapore, HK down

Singapore's Straits Times index was down 2.23 percent, or 139.16 points, at 1,715.10 in late afternoon trade.

Computer peripherals maker Creative Technology lost 4.33 percent to S$19.90 and banking leader DBS dropped 2.8 percent to S$13.90.

In Hong Kong, the key Hang Seng index lost 90.55 points or 0.84 percent to 10.643.14.

Banking leader HSBC was off 0.28 percent to HK$88.00, while micro motor maker Johnson Electric dropped 2.83 percent to HK$10.30.

China Mobile, the mainland's top mobile phone operator dropped 1.71 percent to HK$23, but rival China Unicom was up slight at HK$7.25.