- Title: JAPAN/SOUTH KOREA: Japanese and Korean stock markets close for 2009
- Date: 31st December 2009
- Summary: SEOUL, SOUTH KOREA (DECEMBER 30, 2009) (REUTERS) ***CONTAINS FLASH PHOTOGRAPHY*** VARIOUS OF CLOSING CEREMONY AT SEOUL STOCK MARKET ELECTRONIC STOCK BULLETIN VARIOUS OF COMPUTER MONITORS SHOWING STOCK PRICES AND GRAPH PARK JUNG-SEOP, ANALYST AT DAISHIN SECURITIES TAKING SEAT PARK TALKING TO JOURNALIST (SOUNDBITE) (Korean) PARK JUNG-SEOP, ANALYST AT DAISHIN SECURITIES, SAYING: "Asia's developing countries such as South Korea and China have recovered from the economic slump faster than developed countries. This fact has brought foreigners to buy Asian shares and led a strong rebound in the stock markets." PARK TALKING (SOUNDBITE) (Korean) PARK JUNG-SEOP, ANALYST AT DAISHIN SECURITIES, SAYING: "There's a possibility that China will take a retrenchment policy in the second quarter of next year. If China takes that policy as expected, possibly, it will be a pretext of stock market correction in Asia during the second quarter." VARIOUS OF STOCK PRICES ON ELECTRONIC SCREEN ELECTRONIC SCREEN
- Embargoed: 15th January 2010 03:57
- Topics: Finance
- Reuters ID: LVA2B6IOVHV34ZXBTPJVO76RWPWS
- Aspect Ratio: 4:3
- Story Text: Japanese and Korean stock markets close for 2009, Japan's PM announces a ten year growth strategy.
Shares in Tokyo and Seoul ended 2009 on a overall positive note with Japanese golf star Ryo Ishikawa ringing Tokyo's closing bell and Prime Minister Yukio Hatoyama announcing 10-year growth plans on Wednesday (December 30).
While the Tokyo Stock exchange's (TSE) Nikkei average was down 0.9 percent, closing at 10546.44, on bankruptcy worries about Japan Airlines, the index overall booked a 19 percent gain in 2009, with shares of high-tech exporters leading a rebound rally on a weaker yen and as economic stimulus measures helped turn around the world economy.
Marking the end of this year's trading at the Tokyo Stock Exchange, Japanese golf sensation Ryo Ishikawa came out to wish for a better year in 2010 before ringing the final closing bell of 2009.
"I feel that I want to take stock of the future development of myself, the golf word and also economic development," Ishikawa said before assembled officials and guests before striking the closing bell and signalling the end of trade for the year.
Japanese Prime Minister Yukio Hatoyama also unveiled the outline of his government's 10 year plan and emphasised that the new economy would need to be based on people and driven by consumer demand.
"The economy has to benefit the people. To put it in different terms, it is becoming necessary to revise the thinking that has focused only on the supply side and instead we must also focus on creating demand," said Hatoyama at a news conference.
The growth strategy, which outlined key targets and policy proposals for the 10 years to the fiscal year starting in April 2020, focused on six areas, including Asia, science and technology, and employment.
The strategy also aims to boost gross gross domestic product to 650 trillion yen ($7,062 billion) in fiscal 2020/21 from 500 trillion yen now and lower the jobless rate to 3.0-3.9 percent in the medium term.
Seoul shares reversed earlier losses to end 0.6 percent higher on the year's last trading day, posting a 50 percent gain in 2009, but losses in Kumho Asiana Group shares weighed.
The Korea Composite Stock Price Index (KOSPI) finished up 10.29 points at 1,682.77 points, compared with 2008's close of 1,124.47 points.
Foreign investors were buyers of a net 193.4 billion won worth of stocks, picking up a total of 32.4 trillion won ($26.70 billion) worth in 2009.
Analysts said the Asian market recovered well in 2009, compared to markets in more developed countries such as the U.S. and Europe.
"Asia's developing countries such as South Korea and China have recovered from the economic slump faster than developed countries. This fact has brought foreigners to buy Asian shares and led a strong rebound in the stock markets," said Park Jung-seop, an analyst at Daishin Securities in Seoul.
Analysts were cautiously bullish about the stock market outlook for 2010.
"There's a possibility that China will take a retrenchment policy in the second quarter of next year. If China takes that policy as expected, possibly, it will be a pretext of stock market correction in Asia during the second quarter," said Park.
Many analysts expect stocks to rise further in 2010 as the global economy continues to mend, but gains are likely to be at a much slower pace.
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