Auction house eBay on prowl in Asia

NET-based auction house eBay is on the prowl in Asia and exciting interest in its

Internet Auction rose 6700 won or 10.7% to 69,300 won. eBay, which bought into the business in 2001, says Asia forms an important part of its global aspirations.

South Korea is a natural market for the company. High-speed broadband penetration rates are among the highest in the world. Officials at eBay have said they plan to expand their sites to include a Hong Kong Chinese-language version before the end of this year.

KorAm Bank also gained as investors positioned while a controlling stake in the country's sixth-largest retail lender, goes on the block.

KorAm ticked up 50 won to 13,500 won, but remains off the high of 14,350 won touched last month.

London-listed Standard Chartered and Temasek, the Singapore State's main investment arm, are thought to be the top contenders for a 36.6% stake in the business being sold by Carlyle Group and JP Morgan.

Korean tech shares were softer for a second session as profit-taking continued, although Smith Barney said it was worth keeping faith with the sector.

Samsung Electronics, the giant chip maker, gave up 1000 won to 460,000 won. But Smith Barney strategist Ajay Kapur and colleagues reckoned there were still long-term gains to be had.

'Yes, tech is no longer cheap and some near-term pullback is possible if we hit an earnings air pocket,' they said. 'But it is wrong to argue that we are in bubble-like situation where a large correction in the magnitude of 30% to 40% is possible.'

The Korea Composite Stock Price Index retreated 1.7 points to 792.77.

In Australia shares in troubled financial services group AMP continued a steady retreat that has

come as takeover talk has faded. The group, which lost 12 cents or 2% to A$6.03, is demerging its British businesses. The wider market was softer with brokers blaming jitters about a renewed terror threat, profit-taking and backward steps overnight on Wall Street.

Among the varied losers News Corp, the media conglomerate controlled by Rupert Murdoch, slid 14 cents or 1.2% to A$11.82, miner Rio Tinto gave up 40 cents or 1.2% to A$34.18, and Commonwealth Bank of Australia dropped 13 cents or 0.5% to A$27.45. The All Ordinaries index traded at 3185.40, lower by three points.

Comparable early weakness in Tokyo provoked a raft of concerned comments from government ministers, who said they were keeping close tabs on shares.

'Because it has a big impact on sentiment, we will continue to closely monitor the market,' said Finance Minister Sadakazu Tanigaki following the dramatic falls on the stock market on Monday.

But the Nikkei 225 overcame the selling pressure to end ahead 110.22 points at 9897.05.

Matsushita Electric Industrial, a lead maker of consumer electronics, was a touch softer, off two yen at 1407 yen.