Asian Markets Rebound

Stock markets in Hong Kong, Japan and Thailand surged Friday, following whirlwind efforts by American and IMF officials to stem Asia’s financial crisis. But South Korean shares fell after a week of gains.

In Seoul, President Clinton’s financial troubleshooter for Asia asked South Korean leaders for more reforms. Lawrence Summers received assurances from outgoing President Kim Young-sam that South Korea would abide by terms of a $57 billion International Monetary Fund bailout.

After seven straight days of gains, Seoul’s main stock index retreated Friday and closed down 3.5 percent amid fears of more bankruptcies.

Prices on the Tokyo Stock Exchange surged on expectations of further government measures to stimulate Japan’s listless economy. Tokyo’s 225-issue Nikkei Stock Average shot up 6.11 percent from Wednesday to close at 16,046.45.

Hong Kong shares capped a rollercoaster week with a 3.7 percent rise Friday. The market crashed to a near three-year low Monday, but recovered Tuesday and Wednesday only to plunge again Thursday.

Meanwhile, IMF chief Michel Camdessus - also touring the troubled Asian region - expressed support for steps Malaysia took to cope with the crisis. Investors were reassured, and Malaysia’s main stock index rose 2.8 percent.

Thai share prices surged 5.2 percent, as investors bought stocks after the IMF praised Thailand for meeting its bailout conditions. The Thai market had already risen 7.36 percent from Monday to Thursday.

Indexes for Chinese stock markets in Shanghai and the southern city of Shenzhen both shed more than 1 percent over the week. But Taiwan’s stock market, which rose 5.4 percent between Monday and Thursday, was up another 0.36 percent.

Indonesian shares closed up 6.9 percent, breaking through the 400-point barrier as investors started to react positively to tough new reforms measures Indonesian President Suharto agreed to Thursday after meeting Camdessus.

Singapore’s main index also climbed nearly 1 percent. Stocks in Sydney rose 1.1 percent as positive sentiment over the Indonesia’s reform package affected the market.

Thai shares edged higher in early trading, and Philippine shares slid 1.77 percent, as investors took profit after four days of heady gains during which the index surged 12.4 percent.