Asian stocks show modest falls


Just after the end of trade, Hong Kong said its jobless rate had reached a record 7.8 percent for the July quarter

HONG KONG, China (CNN) -- Most main Asian markets lost ground on Monday, with Japan selling off almost 2 percent.

The Nikkei briefly dropped below 9,500 then recovered. Hong Kong and Taiwan also fell, though more modestly. South Korea closed lower by a a negligible 0.1 percent.

Australia and New Zealand locked in gains. Singapore is trading higher going into the close.

Technical selling in Tokyo

In Tokyo, most of the selling came on technicals, with many market participants still returning from northern summer vacations.

Salomon Smith Barney was reportedly a big seller for its asset management unit.


DoCoMo stock sank on word it would give a discount to heavy users of its 2.5G "i-mode" and 3G phone services

NTT DoCoMo slumped 4.17 percent to 253,000 yen on a report it plans to offer a discount to customers who spend heavily on its i-mode cell-phone service (full story).

That spilled over to its rivals, Japan Telecom finishing down 2.1 percent at 377,000 yen. KDDI ended off 1.5 percent at 328,000 yen.

Several retail stocks fell as large shareholders sold off the major indexes. Ito-Yokado Co., Japan's largest retail group, fell 4.39 percent to 5,230 yen.

Softbank off after Nasdaq pullout

Softbank fell 2 percent to 1,225 yen after its partner Nasdaq shuttered its Nasdaq Japan operation on Friday. But stocks on Nasdaq Japan closed mixed. The Osaka market will take over the listings.(Full Story)

Stock in Nippon Meat Packers raced ahead on reports that Chairman and founder Yoshinori Ohkoso would step down to bolster customer confidence after a beef-labeling scandal.(Full Story)

The shares closed up 11.3 percent at 963 yen. The company will announce the results of an in-house investigation on Tuesday.

The yen weakened a little and stands at 118.08 to the U.S. dollar in late-afternoon trade out of Singapore.

Taiwan down on financials

In Taiwan, the Taiex index lost 0.63 percent to end at 4,888.0. It rose a similar amount in morning trade.

Financial stocks explained the drag, with the finance index ending down 1.10 percent.

Taiwan techs felt a firm underpinning from Nasdaq's 1.2 percent rise on Friday and a strong showing from computer maker Dell.

That boosted United Microelectronics 1.97 percent to T$31.00. Larger rival Taiwan Semiconductor Manufacturing ended flat at T$53.50.

Flat-screen maker AU Optronics changed directions to close down 1.79 percent at T$27.50, despite a report it has won a large order from Sony Corp.

Hong Kong lower ahead of jobless figures

Hong Kong's Hang Seng index finished down 0.18 percent at 10,246.96. Property stocks were off ahead of the city's jobless figures.

After the close, the government revealed the unemployment rate had risen to 7.8 percent, a new record.

Hang Lung Properties dropped 1.22 percent to HK$8.10, with Cheung Kong Holdings down 0.88 percent to HK$56.00. Property stocks are often used as a proxy for Hong Kong's economic strength.

Bank HSBC closed flat at HK$90.25. Oil company Sinopec rose 3.31 percent to HK$1.25 after releasing a 45 percent fall in first-half earnings on Sunday (full story).

Broadcaster TVB leaped 1.71 percent to HK$23.75 after its smaller rival ATV won approval to broadcast into China. TVB is also applying for access into neighboring Gaungdong. (full story)

Korea ends slightly down

In South Korea, the Kospi finished down 0.1 percent at 717.58. Steel company POSCO dropped 2.2 percent to 112,000 won.

Car company Ssangyong Motor suffered to the tune of 4.7 percent to 5,290 won, after gaining 40 percent in the last seven trading days thanks to strong earnings.

Samsung Electronics surged 2.3 percent to 333,000 won as it continues its stock buyback. Rival Hynix Semiconductor ran up the daily 15 percent limit for Seoul trade, to 575 won.

Hana Bank gained 1.1 percent after the government announced it had outdone U.S. fund Lone Star with a $900 million bid for Seoulbank (full story).

Australia up on News

Australia's S&P/ASX200 closed up 0.48 percent at 3,148.2. News Corp. drove the market with a 2.9 percent climb to A$10.58.

Telstra was the most active stock, the telecom moving ahead 0.6 percent to A$4.91. Qantas Airways lifted 2.0 percent to A$4.65 ahead of earnings on Wednesday.

Market players said Australian stocks will likely remain firm in the near future, shaking off most of the turbulence in the United STates.

New Zealand's Top 40 index ended up 0.59 percent at 2,036.56, one of the strongest showings in Asia. Telecom New Zealand climbed 1.8 percent to NZ$5.05, a five-week high.

Singapore's Straits Times index is up 0.62 percent at 1,532.07 heading into the close. Big-cap stocks are dominating the buying, with banks such as DBS Group and United Overseas Bank attracting interest.