Asian Markets Fall on Grim Economic Outlook - Market Overview * Asia * News * Story

MORE HEADLINES

Markets | Economy | Companies

- Consumer Confidence Improves But Still Shaky

LATEST FROM OUR BLOGS

- 8 Stocks That Could Gain With Rising GDP

FEATURED SLIDESHOWS

Runway Angels
The superbowl of fashion shows, models walk down the runway at the 2009 Victoria's Secret Show.
Smartphone Guide
Here's a need-to-know guide to nine devices, based on features, price, network and platform.
Wines for the Holidays
Not quite sure what wine to pair with Turkey or Creme Brulee? Our experts do.

FEATURED QUIZZES

A Healthier & Wealthier You
Take the following quiz and find out how much you know about the impact of obesity on the health of the U.S. economy.
The Billionaire BFF's
Philanthropists. Bridge partners. Hockey players. Which responses are based on facts from Buffett's and Gates' real lives?
The Many Myths of Coca-Cola
Can you tell which statements are true, and which ones are just rumors?

SPECIAL REPORTS

Winterizing Your Portfolio
If 2009 was the winter of our discontent, will 2010 be a winter wonderland for investors? A lot depends on the recovery—or lack thereof.
Investor's Guide to Real Estate
Some even say the long-awaited recovery is here. Regardless, buyers and sellers alike can profit from our guide.
Alternative Investing
Stocks and bonds? Sure. But it's a big world out there for investors.

CNBC ON DIGG

Asian Markets Fall on Grim Economic Outlook

By: CNBC.com | 12 Feb 2009 | 05:19 AM ET

Text Size

Asian markets declined Thursday despite U.S. stocks reversing recent losses as a deal to pass a massive U.S. stimulus package is reached. Bank and tech stocks came under pressure as weak corporate earnings and data pointing to a grim outlook for the region's economies weighed on sentiment.

RELATED LINKS

The U.S. dollar was flat against the euro [EUR-TN Loading... () ] and higher against the yen [JPY-TN Loading... () ] as U.S. lawmakers edged closer to passing the stimulus package. Crude oil prices [US@CL.1 Loading... () ] fell more than 4 percent in New York trade and is currently trading at the $36 a barrel in the early Asian session.

Japan's Nikkei 225 Average [NIKKEI Loading... () ] closed 3 percent lower as disappointment over the U.S. financial rescue plan hit bank stocks. Shares of exporters such as Canon and Sony retreated on a stronger yen. Tech counters such as Advantest Corp also fell after losses by their U.S. peers. But Toshiba bucked the trend, gaining 2.3 percent on news it will buy 221 million worth of shares in Canada's Uranium One with two partners.

The South Korean KOSPI shed 0.8 percent to finish lower for the fourth straight session. The Bank of Korea cut interest rates by 50 basis points to a record low of 2 percent as expected and pointed to deepening economic slowdown. Bank stocks took a beating, weighed down by dismal quarterly results from Woori Finance and KB Financial's Kookmin Bank.

More From CNBC.com

Australian stocks closed 1.1 percent higher as gains in miners and slightly better than expected employment data gave support to the market. Banking stocks such as CBA rose on news that U.S. lawmakers have reached a deal on economic stimulus package. Shares of Leighton, the country's top construction contractor, jumped following its full-year profit guidance. Miner Rio Tinto was on a trading halt. Rio has agreed to a $19.5 billion cash injection from China's state-owned Chinalco .

Hong Kong's Hang Seng Index shed 2.3 percent, in line with the Shanghai Composite's slide after China released weak trade data for January. Property, bank and telecommunication stocks were mostly lower.

Taiwan stocks fell 2.4 percent to snap a four-session winning steak, dragged down by DRAM shares despite a report saying the government was studying a plan to set up a firm to consolidate the industry.

Singapore lost 2.3 percent and Malaysia's KLCI fell 0.3 percent.

Tools: