Asian stocks fell again on concerns over the Chinese slowdown and its land dispute with Japan. The regional index thus approached the monthly lows.
Komatsu, the construction equipment maker (which gets 14% of revenue from China) lost 2,1% in Tokyo. Toyota slipped 2,3% leading the decline of Japanese automakers, which reported declining sales in China. Steel & Tube Holdings plunged 8,7% in Wellington after iron ore maker Arrium said it would sell shares in its New Zealand unit at a discount.
The MSCI Asia Pacific index fell 0,8% to 120.78 as of 10:17am in Tokyo, approaching its worst close since September 12. About seven stocks fell for one to rise. Japan's Nikkei 225 Stock Average fell 1,6%, while Korea's Kospi fell 1,2 percent. Singapore's Straits Times fell 1,2% and Australia's S&P/ASX 200 was down 0,4%. “The impact of the Chinese slowdown was clearly seen,” said Nader Naeimi, head of dynamic asset allocation at AMP Capital Investors. “The stock market has had a good run, so it's not surprising to see some corrections. In a sense, correction is healthy.”
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