HONG KONG (AFP) - Sluggish Asia-Pacific markets revived on Tuesday led by a rebound in Shanghai, with Sydney also boosted by a central bank decision to keep interest rates unchanged. Shanghais Composite Index closed up 1.92 percent after closing at a 15-month low the day before, with banks and property developers rising on bargain-hunting, dealers said. The index was up 45.48 points at 2,409.42. Its just a technical rebound and we still hold a cautious view about the market in the medium-run, CSC International analyst Amy Lin told Dow Jones Newswires. Either the government policies or the economic situation isnt strong enough to support the stock market. Japans Nikkei Index closed up 0.77 percent, or 71.26 points, at 9,338.04, recovering from a seven-month intra-day low thanks to bargain buying and helped by positive news from Shanghai. The Topix index of first-section shares jumped 1.24 percent. Traders had been unsettled by a strengthening yen a blow to the crucial export sector after data showed a dramatic expansion in Chinas buying of Japanese bonds. China bought a net 541 billion yen (6.2 billion dollars) of mostly short-term issues in the first four months, more than double the 253.8 billion yen for all of 2005, the current full-year record, Japanese data showed. It might be better to turn bullish now since it looks like the index has hit its near-term bottom, said Hideki Horikawa, chief analyst at Himawari Securities. The yen changed hands in Tokyo at 87.66 to the dollar from 87.76 in London late Monday and 109.97 to the euro from 109.95, still holding firm but weaker than in the morning. The euro edged up to 1.2545 dollars in Tokyo from 1.2531 in London. Hong Kong closed up 1.22 percent led by mainland blue chips such as Citic Pacific (up 4.47 percent), China Resources Land (3.48 percent) and Chalco (4.90 percent) and snapping a four-day losing streak. The benchmark Hang Seng Index rose 241.92 points to 20,084.12 with turnover of 46.51 billion Hong Kong dollars (5.97 billion US), reflecting subdued trade across the region after the US Independence Day holiday. Sydneys S&P/ASX200 index closed up 1.28 percent, or 54.0 points, at 4,276.1, tracking Shanghai and also boosted by the Reserve Bank of Australias decision to keep interest rates on hold for a second month running in view of global economic worries. All four major Australian banks gained more than two percent following the announcement. Bell Potter Securities analyst Stuart Smith said it was time for the young bull on the oversold Australian market. Singapores Straits Times Index closed up 0.84 percent, or 24.00 points, at 2,868.02, with food and beverage maker Fraser and Neave gaining 20 Singaporean cents and oil rig maker Keppel Corp 13 cents.