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Asian bourses prolong downfall as global jitters persist

17 Nov 2011 Evaluate

Lingering turbulences over the Euro-zone debt continued to torment stock markets in Asia for yet another session on Thursday. Investors remained unwilling to pile up fresh positions as lack of concrete measures to avert the Euro-zone’s debt debacle undermined sentiments. Furthermore, rating agency Fitch’s warning of more trouble for US banks if the European debt crisis is not resolved in a timely and orderly manner, also dampened investors’ morale. Market participants in the region also remained pessimistic following overnight sell-off on Wall Street in the final hour of trading led by decline in banking stocks.

The benchmark in Hong Kong plunged by around a percent, being the top laggard in the space. Most other markets in the region showed signs of consolidation after the recent back to back declines and traded with only moderate cuts. On the other hand, Chinese shares showed some resilience and clawed back into the green zone to trade with marginal gains.

Hang Seng plunged 179.05 points or 0.94% to 18,781.85, Jakarta Composite declined 24.49 points or 0.64% to 3,789.60, KLSE Composite slipped 5.07 points or 0.34% to 1,471.77, Nikkei 225 shed 26.67 points or 0.32% to 8,436.49, Straits Times sank 21.37 points or 0.76% to 2,786.07, Seoul Composite eased 1.82 points or 0.10% to 1,854.25 and Taiwan Weighted dropped 26.61 points or 0.36% to 7,360.91.

On the flipside, Shanghai Composite inched up marginally by 0.19 points or 0.01% to 2,467.15.

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