HONG KONG, June 4: Asian stocks closed mostly down on Wednesday as India and Malaysia hiked fuel prices amid an OECD warning that sharply higher inflation posed a risk to regional economic growth.

India’s stock market fell nearly three per cent after its government hiked subsidised fuel prices to stem huge losses at state oil firms struggling to cope with surging crude costs, raising the prospect of a voter backlash.

Petrol prices were increased by 11 per cent or five rupees (12 cents) and diesel by 9.4 per cent based on pump prices in the capital, New Delhi.

Prime Minister Abdullah Ahmad Badawi said Malaysia’s petrol price would rise 40 per cent to 2.70 ringgit (0.84 dollars) a litre from Thursday as controls are removed under a revamped subsidy system.

TOKYO: Japanese share prices closed 1.59 per cent higher, boosted by a weaker yen which is good for the earnings of automakers and other exporters, dealers said.

The benchmark Nikkei-225 index gained 226.40 points to end at 14,435.57, recovering most of the previous day’s losses. The broader Topix index of all first-section shares added 23.03 points or 1.64 per cent to 1,430.47.

The greenback gained after comments by US Federal Reserve chairman Ben Bernanke seen as supportive of the dollar.

HONG KONG: Hong Kong share prices closed down 1.04 per cent, dealers said.

The Hang Seng Index was down 252.51 points at 24,123.25. Turnover was 78.92 billion Hong Kong dollars (10.12 billion US)

China Unicom was down 4.28 per cent, China Mobile fell 1.22 per cent and China Netcom was down 3.39 per cent, following tumbles on Tuesday as uncertainty about the mainland’s telecoms industry restructuring plans lingered.

SYDNEY: Australian shares closed mixed, dealers said.

The benchmark SP/ASX200 index gained 10.3 points to close up 0.2 per cent at 5,584.5 while the broader All Ordinaries slipped 4.8 points, or 0.1 per cent, to 5,698.2.

Turnover was 2.1 billion shares worth 6.1 billion dollars (5.9 billion US).

Dealers said concerns about the US remained.

SINGAPORE: Singapore share prices closed 0.61 per cent lower, dealers said.

The main Straits Times Index dropped 19.14 points to 3,134.80. Volume traded totalled 1.61 billion Singapore dollars (1.18 billion US).

The market seems horribly rangebound, said a local dealer.

United Overseas Bank fell 24 cents to 19.66.

KUALA LUMPUR: Malaysian share prices closed down 0.4 per cent, dealers said.

The Kuala Lumpur Composite Index fell 4.45 points to 1,253.12.

With the 1250 level violated, the market may test stronger support at the 1220 to 1230 zone in the near-term, a dealer told DowJones Newswires.

Telekom was up two sen to 3.20 ringgit. Maybank was down five sen at 7.35 ringgit. Tenaga rose 30 sen to 7.30 ringgit.

JAKARTA: Indonesian shares closed 1.7 per cent lower, dealers said.

The Jakarta Composite Index closed down 41.22 points at 2,362.59.

Late panic selling on fears that stocks in the US will continue to fall also dragged down the main index, a trader said.

WELLINGTON: New Zealand share prices closed up 0.50 per cent, dealers said.

The NZX-50 gross index rose 17.64 points to 3,557.69.

ASB Securities adviser Stephen Wright said there was relief that Tuesday’s dismal trading did not carry over into a second day.

MUMBAI: Indian share prices fell 2.81 per cent, dealers said.

The benchmark Mumbai 30-share Sensex fell 447.77 points to 15,514.79.

There is very little good news ahead. Corporate earnings may be revised lower, amid rising inflation and commodity prices, said R. Balakrishnan, at Centrum Broking.—AFP