Japan's Nikkei average slipped 2.3% on Tuesday, dragged down by worries about a weakening global economy that battered exporters such as Sony, though bargain-hunting prevented further slides. Japanese Economics Minister Kaoru Yosano said on Tuesday the economy may not grow in the fiscal year starting next April, issuing one of the bleakest comments yet on the impact of the economic downturn. Government data showed on Monday that Japan's economy has slipped into recession, confirming that the global financial crisis has sabotaged growth in yet another major economy, with the euro zone already in recession. With trade thin, the benchmark Nikkei shed 194.17 points to 8,328.41. The broader Topix lost 1.8% to 835.44... Hong Kong shares shed 4.5 on Tuesday, unsettled by worries over a protracted global recession, and China Construction Bank slid after Bank of America said it was increasing its stake in the Chinese lender at a discount to its current stock trading price. The benchmark Hang Seng Index finished down 613.64 points at 12,915.89... The Sensex opened with a significant negative gap of 9,084 -At first, the index recovered partially and touched a high of 9,169, only to fall back sharply lower to 8,872. The Sensex finally ended with a loss of 354 points at 8,937. down 207 points - on the back of negative cues from the US markets. The index languished in the negative zone throughout the day amid some volatility.
The Nikkei is closed today for a holiday... Hong Kong shares rose 2.7% on Monday, with Chinese counters leading the charge after a central bank official indicated Beijing had eased lending restrictions, but the main index closed off highs in a late bout of profit taking. State media also quoted a central bank spokesman as saying the People's Bank of China must flexibly adjust its economic policies, including monetary policy. China has cut interest rates three times in six weeks after a series of tightening measures earlier to rein in runaway inflation. The benchmark Hang Seng Index closed up 375.70 points at 14,344.37 in a strong start to a month investors hope will bring stability to the market after it posted its worst monthly drop in more than a decade in October. The index had rallied to 14,889.13 earlier... The Sensex opened with a significant positive gap of 421 points at 10,209 on the back of rate cut by the Reserve Bank of India over the weekend. The RBI on Saturday announced a 100 basis points cut in cash reserve ratio, a 50 basis points cut in repo rate and also reduced the statutory liquidity ratio by 100 basis points. Some profit-taking in intra-day trades saw the index touch a low of 10,113. The index, however, moved back to higher levels led by solid gains in realty, capital goods and banking stocks. The Sensex touched a high of 10,363, and finally ended with a gain of 550 points at 10,338. (Reuters, Business Standard)