Asian stocks suffer another mauling

TOKYO, Nov 12, 2007 (AFP) – Asian stocks were rocked by another large sell-off Monday with Tokyo hitting a 15-month low, battered by a weak dollar and growing fears over the fallout from the US subprime loan crisis, dealers said. They said the Chinese central bank’s latest move to try to cool the economy had further rattled investors around the region following a fresh slump on Wall Street on Friday, with Hong Kong down 3.6 percent in late deals.
But many markets including Tokyo managed to claw back some of their heavy losses in late trade as the dollar showed signs of stabilising.
Japan’s Nikkei-225 index ended down 2.48 percent after dipping below the key 15,000 points level briefly for the first time since July 2006 as the dollar hit an 18-month low against the yen, weighing heavily on exporter shares.
Shanghai ended down 2.4 percent, off its lows of the day, after the Chinese central bank announced another hike in the bank reserve requirement.
Seoul closed 3.4 percent lower and Sydney dropped 1.4 percent, while Singapore was down 2.4 percent in late trade. European stock markets were also bracing for further falls when trading resumed.
“The overall market sentiment is turning bad,” said Castor Pang, strategist at Sun Hung Kai