Asia: Higher on Greek bailout

HONG KONG: Asian shares drove higher yesterday as investors focused on domestic issues despite US and European markets giving Greece's crucial bailout only a lukewarm welcome.

Tokyo was up almost one per cent, closing at its highest level in over six months as exports were boosted by a sliding yen, with the Japanese unit breaking through the psychological 80 yen level against the dollar.

The Nikkei 225 index at the Tokyo Stock Exchange rose 90.98 points to 9,554.00.

Chinese shares rose almost as much, with the Shanghai Composite Index, which covers both A and B shares, ending up 0.93 per cent at 2,403.59.

The rises came despite New York and European bourses giving a limited response on Tuesday to a euro237 billion bailout package eurozone finance ministers agreed for Greece.

The measures are designed to keep the country in the single currency in return for tough budget cuts and close oversight of its government, and analysts expressed concern about the durability of the package.

But Asian markets shrugged off the doubts.

"It's getting to the point where people are feeling that developments in Europe are becoming largely irrelevant to Asia," Andrew Sullivan, principal sales trader at Piper Jaffray, told Dow Jones Newswires.

In other markets:

* Sydney closed flat, up 0.04 per cent or 1.9 points to 4,293.1.

* Wellington fell 9.09 points to 3,328.23. Index heavyweight Fletcher Building lost 1.96 per cent at NZ$6.51 after posting a 13 per cent drop in half-year net profit. Air New Zealand was down 1.7 per cent to NZ$0.88.

* Taipei rose 80.18 points to 8,001.68. Hon Hai rose 0.83 percent to T$97.6 while TSMC was 0.38 per cent lower at T$79.70. AFP