Asian Markets Slip As Rally Peters Out

MALCOLM FOSTER

TOKYO (AP) — Asia's four-day stock market rally petered out Thursday as investors turned cautious.

The markets rose in early trading following another gain overnight on Wall Street and news that South Korea left its key interest rate at a record low, signaling that most Asian central banks are in no hurry to raise borrowing costs. Australia also reported an unexpected surge in the number of jobs last month.

But some investors started selling, thinking the recent rally had run its course now that China had reported positive industrial production and retail sales figures the previous day.

"I'm expecting a wave a profit-taking on a global basis, so we should start to see these rallies winding down," said Kirby Daley, senior strategist at Newedge Group in Hong Kong. "Asian markets may not be as susceptible as European and U.S. markets, but they're certainly not immune."

Japan's Nikkei 225 Index dropped 80.14 points, or 0.8 percent, to 9,791.54, while Hong Kong's Hang slipped 111.18, or 0.5 percent, to 22,516.03.

South Korea's Kospi dipped 0.2 percent to 1,592. Markets in Taiwan, India and Singapore also fell.