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HONG KONG, Jan 21: Asian shares plunged on Monday as fears of a US economic recession wilted stock prices despite an urgent move by President George W. Bush to shore up the world’s biggest economy.
Analysts said investors appeared to view Bush’s plan for a boost to the ailing US economy of about $145 billion as being too little, too late.
India suffered the most in the Asian sell-off, slumping 7.41 per cent for its steepest fall ever over a trading day. Singapore, whose economy depends on exports, particularly to the US, tumbled 6.03 per cent.
Other major markets also saw red, with both Hong Kong and mainland China down more than five per cent. Tokyo, the region’s biggest bourse, fell 3.86 per cent.
TOKYO: Japanese share prices closed down 3.86 per cent to a fresh two-year low on worries whether a stimulus package unveiled by President George W. Bush would avert a US economic recession, dealers said.
The fall mirrored a bearish performance Friday on Wall Street, where investors feared Bush’s plan would be too little, too late to jumpstart the US economy, particularly the troubled housing sector.
The Tokyo Stock Exchange’s benchmark Nikkei-225 index ended down 535.35 points at 13,325.94, a level not seen since October 2005. At one point it fell to a low of 13,320.51.
The broader Topix index of all-first section shares closed down 47.76 points or 3.56 per cent at 1,293.74, slipping below the symbolic 1,300-point line.
Decliners outnumbered gainers 1,596 to 103, with 31 issues unchanged.
Volume fell to 2.18 billion shares from 2.73 billion Friday.
HONG KONG: Hong Kong share prices closed down 5.5 per cent, dealers said.
The Hang Seng index closed down 1,383.01 points at 23,818.86. Turnover was 117.51 billion Hong Kong dollars (15.05 billion US).
When markets are dominated by fear, just like what we’re seeing now, they can easily be oversold, Kwong said.
SYDNEY: Australian share prices closed down 2.9 per cent, dealers said.
Stocks fell on concerns over domestic inflationary pressure and the state of the ailing US economy, added.
The benchmark S&P/ASX 200 closed down 166.9 points at 5,580.4. The index has fallen 18.5 per cent from its all time high of 6,851.5 on November 1 last year.
SINGAPORE: Singapore share prices closed 6.03 per cent lower, dealers said.
The blue chip Straits Times Index (STI) fell 187.10 points to 2,917.15 to a five-month low.
Volume was 2.15 billion shares worth 2.38 billion Singapore dollars (1.66 billion US).
KUALA LUMPUR: Malaysian shares prices closed down 2.2 per cent, dealers said.
The Kuala Lumpur Composite Index (KLCI) fell 30.89 points to 1,408.6.
British American Tobacco fell 0.75 ringgit to 42.00. IOI Corp slumped 0.15 to 7.85.
JAKARTA: Indonesian share prices closed 4.8 per cent lower, dealers said.
The Jakarta composite index dropped 125.25 points to 2,485.88.
Indonesia is one of the worst performing markets in the region today,said Tjandra Lienandjaja, an analyst at BNP Paribas.
Coal giant Bumi Resources lost 600 rupiah to 5,050. Astra International tumbled 2,000 to 24,900. Telkom slid 300 to 8,900.WELLINGTON: New Zealand share prices closed 0.48 per cent lower, dealers said.
The benchmark NZX-50 index fell 17.45 points to 3,646.91.
Contact Energy fell 22 cents to 7.28 dollars, Telecom was down five cents at 4.09 and Fletcher Building eased one cent to 10.00.
MUMBAI: Indian share prices closed down 7.41 per cent, dealers said.
The 30-share Mumbai stock exchange Sensex index ended down 1,408.35 points to 17,605.35, its sixth day of losses. The Sensex is down 16.9 pc since the start of last week.—AFP
