The data and Wall Street's subsequent grains buoyed Asian markets while Hong Kong benefitted from a stronger housing market and the Philippines was supported by a military victory over Islamic rebels in the country's South.

Share prices in Tokyo closed 1.0 per cent higher after a rally on the US Nasdaq index triggered buying in technology issues. The Nikkei-225 index rose 174.44 points to 17,572.68. "Investors took heart from the Nasdaq's rally on Friday," Nikko Securities' senior market analyst Hiroichi Nishi said.

Hong Kong: Share prices in Hong Kong closed 2.4 per cent higher after strong gains in property, which were boosted by positive sales of units at several residential projects over the weekend.

The Hang Seng index gained 408.71 points to close at 17,238.71. Hi-tech stocks were generally lower, despite Pacific Century CyberWorks and Cable and Wireless HKT rising.

Anthony Mak, sales director of Vickers Ballas Securities, said property stocks were higher on improvements in the market for residential apartments, following the government's decision to abandon its annual target of building 85,000 housing units.

Singapore: Singapore share prices closed 0.3 per cent higher, on selective buying in blue chip stocks. "There was follow-through buying on selective blue chips but we're not seeing much volume, unlike last Friday," a dealer with a local brokerage said. "Some of the foreign houses are probably done with their buy programs."

The Straits Times index jumped 5.48 points to finish at 2,098.11. Other dealers said buying was partly due to robust preliminary economic growth figures for the second quarter. Singapore's Ministry of Trade and Industry on Monday released preliminary figures showing the gross domestic product (GDP) expanded 7.7 per cent from a year earlier in the three months to June.

Kuala Lumpur: Malaysian shares closed sharply higher on institutional buying of blue chips, supported by firmer regional markets amid Wall Street's rise last Friday.

The composite index ended up 17.12 points at 837.59. An institutional dealer with a local brokerage said sentiment had improved slightly on perceptions that there was limited downside to the local bourse.

Gains were also aided by rises in key regional markets following the Dow Jones rise after the release of weaker-than-expected unemployment data. However, questions remained about the sustainability of the day's rally which was not based on fundamentals, he added.

"It is not so much about why the market is higher but rather if gains can be sustained," he said, adding that investors could still be inclined to sell into strength.

Seoul: South Korean share prices rose 1.16 per cent on strong foreign interest following Wall Street's rally. The Korea Stock Exchange index closed up 9.73 points at 851.47. Sentiment was little affected by a threatened bank strike, Daewoo Securities Shin Sung-Ho said.

"The market expects a robust rise with sentiment lifted by steady movements on Wall Street and easing money market rates." Prospective earnings improvements for the first half also added to the positive sentiment, he added.

"The market may experience some correction given the recent sharp rise ... and how the (bank) strike unfolds this week is likely to affect sentiment to some degree, although any impact is seen as limited." Jakarta: Indonesian share prices closed only slightly higher as investors remained sidelined due to concern over political developments and the weak rupiah, dealers said. An analyst with a foreign brokerage said trading was quiet but Cigarette maker H.M Sampoerna became a market focus after the company released stronger second quarter cigarette sales data. "Sampoerna is still the darling of investors.

-- AFP