Most Asian markets fell Monday as Hong Kong shares were dragged lower by mainland issues after Chinese authorities hiked commercial banks' reserve requirement ratio to curb liquidity growth, REPORTED AP. In Hong Kong, Hang Seng Index fell 0.9 percent, but still managed to close above the key 20,000 level at 20,029.66 points on strong demand for blue-chip property firms, which had been laggards in the market's recent record-breaking run. Analysts said they expect volatility in the Hang Seng Index in the near term on concerns China may take further measures to control its booming economy and still-strong market liquidity. China-related banking and telecommunications companies fell sharply after the People's Bank of China said Friday it was raising the reserve requirement ratio for financial institutions by 50 basis points in an effort to curb liquidity growth and boost its macroeconomic controls. Among telecom companies, China Unicom plunged 6.5 percent and China Netcom slid 2.6 percent. Bank of Communications slumped 3.7 percent, China Construction Bank dropped 3.4 percent, Industrial Commercial Bank of China declined 3.4 percent and Bank of China fell 3.0 percent. Indian shares fell amid a drop in technology issues, with traders expecting markets to remain weak until companies start announcing earnings for the October-December quarter later this week. The Bombay Stock Exchange's benchmark 30-stock Sensitive Index, or Sensex, dropped 208.37 points, or 1.5 percent, to 13,855.89. Japan's stock, currency and other financial markets were closed for Coming of Age Day, a national holiday. Elsewhere: BANGKOK: Thai shares advanced 0.9 percent to 633.82 points, due mainly to a buying spree on hopes of possible changes to capital inflow rules. JAKARTA: Indonesia shares dropped 1.1 percent to 1,813.39. KUALA LUMPUR: Malaysian shares dropped, with market sentiment hurt by declines in U.S. and other Asian markets. The Kuala Lumpur Composite Index of 100 blue chips dipped 0.7 percent to 1,113.17 points. MANILA: Philippine shares dropped on Wall Street's retreat and profit-taking after the market climbed to its highest level in nearly a decade last week. The benchmark Philippine Stock Exchange Index retreated 44.07 points, 1.5 percent, to 2,952.32. SEOUL: South Korean shares fell for a fourth session, dragged down by technology and construction stocks. The South Korean won declined to near a two-month low. The Korea Composite Stock Price Index fell 14.95 points, or 1.1 percent, to 1,370.81. SHANGHAI: China shares rose despite the central bank's announcement of measures to cool the roaring economy, as institutional investors bought heavily in the previously lagging power generation and coal production sectors. The benchmark Shanghai Composite Index jumped 2.5 percent at 2,707.20. The Shenzhen Composite Index rose 3.0 percent to 579.22. SINGAPORE: Singapore shares fell, dragged down by weakness on Wall Street. The benchmark Straits Times Index fell 29.04 points, or nearly 1 percent, to 3,000.00 SYDNEY: Australian shares were pulled down by weaker metal prices and the fall of U.S. markets. The benchmark S&P/ASX 200 index fell 70 points, or 1.3 percent, to 5,502.0. TAIPEI: Taiwan shares fell 1 percent amid concerns over the island's financial sector following an announcement that the government had taken over the management of two financial units of the troubled Rebar Asia Pacific Group. The weighted index of the Taiwan Stock Exchange dropped 74.04 points, or 1.3 percent, to 7,760.53. WELLINGTON: New Zealand stocks fell in thin trading, although Air New Zealand jumped on the recent drop in oil prices. The benchmark NZX-50 index fell 6.7 points, or 0.2 percent, to 4,028.58.
