Asian stock markets were mixed on Thursday, with some signs of optimism going into 2011 but Beijing's efforts to cool the Chinese economy dampening spirits.

Sydney's S&P/ASX 200 index was up 0.29 percent by the afternoon, Hong Kong's Hang Seng index was off by 0.31 percent, Shanghai's Composite index dipped 0.28 percent and Tokyo's Nikkei was down 1.24 percent on its last day of trading of the year.

Traders said Shanghai was still coming to terms with last weekend's interest rate hike, the second in less than three months. A warning by the housing ministry of further unspecified measures to rein in the property market added to nervousness, dragging down developer stocks.

The rate hike "has hurt already-weak sentiment as it will have a negative impact on the market liquidity conditions," Dow Jones Newswires quoted Capital Securities analyst Jacky Zhang as saying.

However there were also signs of exuberance, with firmer metals prices helping push Sydney higher after losses on Wednesday caused partly by gloom about China.

"At the end of the day this is concern over an overheating economy as opposed to an economy that's about to collapse," said David Land, a trader at CMC Markets. "For the last two months economic data, especially from the US, is certainly supporting the bull's argument that 2011 is going to be a year of profit and revenue growth."

In Hong Kong, Haitong Securities said the dip in the market was likely to be limited as China's economic cooling measures had largely been priced in. Haitong noted that the Hang Seng had climbed just five percent over the year, while "H-shares" -- mainland firms listed in Hong Kong -- were two percent lower.

Tokyo's fall meanwhile was largely in reaction to a plunge in the value of the dollar against the yen -- seen as hurting Japanese exporters -- although again there was some optimism that the damage might be slight. "Despite the fact that the dollar is nearing 80 yen, the selling is limited," said Masayoshi Yano, a senior market analyst at Meiwa Securities. "It reflects continuing hopes for a US economic recovery into next year."

The dollar fell as investors left the US currency due to falling US bond yields and instead hunted out riskier assets. The greenback dropped to 81.40 yen in Tokyo morning trading, off an intraday low of 81.26, but down from 81.62 yen in New York late Wednesday.

The euro rose to 1.3254 dollars from 1.3224 dollars in New York. Against the yen, the single European currency was marginally lower at 107.87 against 107.88 yen in New York.

Oil rose in Asian trade on expectations that freezing temperatures in the northern hemisphere will stoke demand. New York's main contract, light sweet crude for February delivery, rose three cents to 91.15 dollars per barrel. Brent North Sea crude for February was up 14 cents at 94.28 dollars.

Gold opened at 1412.50-1413.50 US dollars an ounce in Hong Kong, up from Wednesday's close of 1,407.00-1,408.00 dollars.

US stock markets drifted upwards on Wednesday, keeping the Dow index at two-year highs. The Dow Jones Industrial Average rose 0.09 percent to 11,585.38, the broader S&P 500 index gained 0.10 percent and the NASDAQ rose 0.15 percent.

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