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HONG KONG, Feb 20: Asian shares tumbled on Wednesday after a surge in the crude oil price to around $100 per barrel and more credit market woe reignited worries about the global economic outlook.
Japan’s stock market slumped 3.25 per centafter oil closed above three figures for the first time ever in New York on Tuesday and then slipped back only slightly on Wednesday.
Investors were also unnerved by a report in the London-based Financial Times newspaper that credit fund KKR Financial Holdings had hit major problems again less than six months after an emergency bailout.
The report put the spotlight again on a debilitating global credit crunch spreading from the US, which has been hit by a default crisis among subprime -- or riskier -- mortgages.
TOKYO: Japanese share prices tumbled 3.25 per cent as a surge in oil prices spooked investors already nervous about the outlook for corporate earnings, dealers said.
They said players dumped shares after crude oil futures closed above 100 dollars a barrel in New York on Tuesday for the first time.
The Tokyo Stock Exchange’s benchmark Nikkei-225 index dropped 447.54 points to end at 13,310.37. The broader Topix index of all first-section shares lost 42.57 points or 3.16 per centto 1,302.72.
Decliners topped gainers 1,584 to 111, with 34 issues unchanged.
HONG KONG: Hong Kong share prices closed 2.21 per cent lower, dealers said.
The Hang Seng index closed down 532.59 points at 23,590.58. Turnover was 89.75 billion Hong Kong dollars (11.54 billion US).
South China Securities research head Dennis Poon said the market was dragged down by “worries over the adverse impact of high oil prices on the global economy.
HSBC was down 1.70 dollars at 112.70, HKEx shed 4.30 to 157.50, Hutchison Whampoa slipped 0.80 to 73.90 and China Life fell 1.05 to 30.10.
SYDNEY: Australian share prices closed down 2.2 per cent, dealers said.
The benchmark S&P/ASX 200 dropped 122.6 points to 5,496.5 while the broader All Ordinaries fell 111.3 points to 5,577.3. Turnover was 1.5 billion shares worth 6.8 billion dollars (6.2 billion US).
Miner Rio Tinto dropped 3.0 per centto 132.36 dollars and its rival BHP Billiton lost 2.5 per cent to 38.69 dollars.
Woodside Petroleum adding 2.33 dollars to 53.59 dollars
SINGAPORE: Singapore share prices closed down 2.3 per cent, dealers said.
The benchmark Straits Times index shed 71.23 points to 3,026.83. Volume was 1.6 billion shares valued at 1.9 billion Singapore dollars (1.35 billion US).
KUALA LUMPUR: Malaysian share prices closed down 0.8 per cent, dealers said.
The Kuala Lumpur Composite index lost 11.17 points at 1,414.32.
“Sentiment is really soft and when there is a lot of volatility in other markets, there is no reason why the local market should go in the other direction,” said Wee Kim Hong, head of research at MA Securities.
JAKARTA: Indonesian share prices closed 0.8 per cent lower, dealers said.
The Jakarta Composite index closed down 22.62 points at 2,689.26.
Bumi Resources fell 100 rupiah to 7,350. Telkom shed 50 to 10,050. Miner Inco dropped 100 to 9,050.
WELLINGTON: New Zealand share prices closed 0.38 per cent, dealers said.
The benchmark NZX-50 index dropped 13.51 points to 3,595.91.
MUMBAI: Indian shares closed down 2.53 per cent, dealers said.
The 30-share Mumbai stock exchange Sensex index fell 458.06 points to 17,617.6.
The markets are distinctly nervous, slipping on low volumes. The mood continued to be nervous, said Hiten Mehta, a senior fund manager with Fortune Financial Services.—AFP
