Although the financial environment is regarded as accommodative, credit demand in the in the private sector “has been more or less flat.”

The Yen Drops

The yen fell 0.62% from 107.64 to 107.65 against the dollar.

Gainers and Losers

Pioneer Corp. led advancers in the Nikkei 225 index with a rise of 15.53% followed by gains of Showa Shell of 9.97%, in Mitsubishi Heavy Industries of 6.98%, in Sumitomo Chemical Company of 6.13%, and in Sanyo Electric of 5.85%.

Shipping lines also continued to gain on growing demand and rising prices of metals. Kawasaki rose 5.70%, Mitsui Engineering & Shipbuilding increased 5.67% and Mitsui O.S.K. Lines advanced 3.72%.

Trend Micro led decliners in the Nikkei 225 index shares with a drop of 9.76% followed by losses in Daikin Industries of 7.21%, in Tokyu Land Corp. of 4.98%, in Nikon Corp of 3.28%, and in Sumitomo Realty of 3.26%.

Financial institutions also fell after UBS AG reported full-year loss of 4.3 billion loss and a fourth quarter loss of 12.4 billion francs in line with losses from U.S. mortgage-related positions outweighing strong performance in other businesses.

Mitsubishi UFJ Financial Group increased 1.67% and Mizuho shed 0.68%.

Company News

Japan Petroleum today revised upwards its full year profit projection in the year through March from 18.2 billion yen made in November to 21.5 billion yen.

International Markets

In Tokyo Nikkei 225 Index closed lower 3.89 or 0.03% to 13,622.56, in Hong Kong Hang Seng index increased 126.75 or 0.53% closed to 24,148.43. Australia ASX 200 index decreased 78.20 or 1.38% to close 5,606.60.

In South Korea Kospi Index decreased 2.68 or 0.16% to close at 1,694.77, in Thailand SET index closed lower 5.46 or 0.66% to 826.65 and Indonesia JSE Index edged increased 12.55 or 0.47% to 2,688.19. Sensex index in India increased 348.60 or 1.96% to 18,115.25

3:00AM New York, 7:00PM Sydney- ASX 200 index lost 1.4% after stocks in the U.S. closed lower.

Market Sentiment

ASX 200 index lost 1.4% or 78.2 to close at 5,606.60.

The Preliminary market turnover was 1.32 billion shares worth $6.18 billion, with 422 stocks moving up, 729 moving down, and 354 unchanged. The most actively traded stock was Resource Pacific with 103 million shares worth $329.75 million.

Market Driver

Australia-based mall owner Centro Properties Group today requested for a suspension of trade in its shares and in that of its listed retail trust ahead of today''s deadline to negotiate a refinancing deal with its Australian and U.S. creditors.