HONG KONG. Dec 31: Asian stock markets ended the year higher Friday, with Hong Kong's key index closing at a record high for the second straight day. reports AP.

The Hang Seng Index, the Hong Kong's market's key indicator of blue chips, rose 10.92 points, or 0.09 per cent, closing at 11.888.39 in halfday trading on New Year's Eve. The index had soared 427 points Thursday.

Brokers said share prices fell in early trading on profit-takjng but rebounded sharply before the close as overseas Investors continued their yearend buying spree.

The market is expected to rise further in the New Year because of investors' optimism about the strength of the Hong Kong and Chinese economies, they said.

Malaysian share prices also closed at a record high Friday because of heavy local and foreign buying.

The Kuala Lumpur Stock Exchange's Composite Index rose 43.59 points to close at 1,275.32 points. Brokers said foreign and institutional Investors helped boost the rise in blue-chip prices.

Markets were closed in Tokyo. Jakarta. Manila. Seoul, and Bangkok for national holidays.

TAIPEI: Share prices closed sharply higher for the second straight'day after the government indicated that most investors will be exempt from a planned securities capital gains tax to be imposed in 1995. The Weighted Index soared 257.01 points to 6.070.56. its highest level since June 22. 1991.

WELLINGTON: New Zealand share prices closed higher, boosted by a decline in local interest rates. The NZSE-40 Capital Index rose 7.84 points to 2,188.07.

SYDNEY: Australian share prices closed higher because of continued buying by overseas investors. The All-Ordinaries Index rose 19.1 points to 2.173.6. its highest level , since the global market crash In October 1987.

. SINGAPORE: Share p'rices closed 'higher, with the key index closing just 1.17 points below the all-time high of 2.426.85. The 30-share Straits Times Industrials Index rose 35.07 points to 2,425.68.