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Asian equities trade lower as Europe tensions rise

05 Feb 2013 Evaluate

All the Asian equity indices were trading in the negative terrain in Tuesday’s morning deals as investors booked profits from recent strong rallies on worries that a potential political shake-up could disrupt the euro-zone’s efforts to resolve its debt crisis. Spain’s opposition party on Sunday called for Prime Minister Mariano Rajoy to resign over a corruption scandal, an allegation that Rajoy denies, pushing Spanish 10-year bond yields to six-week highs. Weak close on Wall Street overnight too dampened the investors’ sentiments.

Shanghai Composite declined 9.80 points or 0.40% to 2,418.35, Hang Seng tumbled 399.72 points or 1.69% to 23,285.29, Jakarta Composite dipped 11.12 points or 0.25% to 4,479.45, KLSE Composite slipped 2.60 points or 0.16% to 1,631.95, Nikkei 225 crumbled 160.87 points or 1.43% to 11,099.48, Straits Times dropped 22.98 points or 0.70% to 3,274.39, KOSPI Composite contracted 11.85 points or 0.61% to 1,941.36 and Taiwan Weighted was down by 41.05 points or 0.52% to 7,882.11.

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