HONG KONG, July 11: Asian stocks closed mostly higher on Friday as investors shrugged off fresh concerns about US mortgage market woe, but they remained cautious about forthcoming corporate profits figures.

The South Korean and Taiwanese markets led the gainers, rising around two per cent. The Hong Kong bourse also had a positive session, jumping over 1.5 per cent.

The rise came despite growing fears about the financial fragility of US mortgage giants Fannie Mae and Freddie Mac, whose shares plummeted on Thursday.

Jitters eased slightly after the New York Times reported the US government was considering steps to rescue them, possibly by taking over one or both.

Investors were also nervous ahead of major US bank quarterly earnings reports, amid fears of fresh losses following the meltdown in so-called “subprime,” or riskier, US mortgages.

Indian software giant Infosys Technologies reported a forecast-beating first quarter net profit jump of 20.7 per cent, soothing some concerns about the impact of a global economic slowdown, but its stock price still tumbled.

TOKYO: Japanese share prices closed down 0.21 per cent, slipping for the first day in three on renewed concerns about the fallout from the US credit crunch, dealers said.

The Tokyo Stock Exchange’s benchmark Nikkei-225 index dropped 27.52 points to 13,039.69. The broader Topix index of all first-section shares slipped 4.85 points or 0.38 per cent to 1,285.91.

Most investors will probably stay on the sidelines ahead of the weekend and earnings from US financial institutions next week, a trader at a Japanese brokerage firm told Dow Jones Newswires.

Inpex gained 3.3 per cent to 1.24 million yen.

HONG KONG: Hong Kong share prices closed up 1.7 per cent Friday, dealers said.

The benchmark Hang Seng Index was up 362.77 points at 22,184.55. Turnover was 70.02 billion Hong Kong dollars (8.98 billion US).

ICEA Securities Asia strategist Ernie Hon told Dow Jones Newswires that the index could head toward 23,000 points as investors are getting back to the market.

Chalco soared more than six per cent after China’s top smelters decided to cut output by up to 10 per cent, sending aluminium prices to record highs.

China Construction Bank rose 2.2 per cent after disclosing expectations of robust first-half earnings.

SYDNEY: Australian shares closed 0.9 per cent higher, dealers said.

The benchmark S&P/ASX 200 closed up 42.5 points at 4,979.9 while the broader All Ordinaries ended 47.3 points higher at 5,067.8.

Market turnover was 1.54 billion shares worth 4.7 billion dollars (4.5 billion US).

Resources stocks were the winners after strong overnight rises in the price of oil and gold, Macquarie Equities Brisbane adviser Helen Spencer said.

National Australia Bank fell 0.6 per cent to 27.45 dollars.

SINGAPORE: Singapore share prices closed 0.87 per cent higher, dealers said.

The blue chip Straits Times Index finished 25.26 points higher at 2,926.84 on volume of 1.28 billion shares worth 1.23 billion dollars (904 million US).

DBS closed 36 cents higher at 19.04 Singapore dollars. Chip maker Chartered Semiconductor Manufacturing was a key gainer, up 3.5 cents to 0.725. Neptune Orient Lines also fared well, up 10 cents to 3.10.

KUALA LUMPUR: Malaysian share prices closed 1.3 per cent higher, dealers said.

The Kuala Lumpur Composite Index added 14.90 points to close at 1,150.39.

These gains are largely due to buying interest from government linked funds, a dealer told Dow Jones Newswires.

Sime Darby added 1.2 per cent at 8.45 ringgit. Maybank rose 0.15 ringgit to 7.25, Telekom gained 0.08 ringgit to 3.32 while Tenaga was up 0.05 ringgit to 8.25.

WELLINGTON: New Zealand shares closed 0.29 per cent higher, dealers said.

The NZX-50 gross index rose 8.98 points to close at 3,121.55.

“Basically a quiet end to a rather volatile week,” said First NZ Capital director Philip Hunter.

Market leader Telecom rose two cents to 3.39 New Zealand dollars. Contact Energy rose nine cents to 7.60 and Fletcher Building dropped five cents to 6.38.

MUMBAI: Indian shares closed 3.28 per cent lower, dealers said.

The benchmark Mumbai 30-share Sensex index fell 456.39 points to 13,469.85.—AFP