Hong Kong stocks ended sharply lower Tuesday, with the blue-chip Hang Seng Index suffering its biggest one-day point and percentage decline in five years, as investors sold a broad range of shares amid renewed concerns over a deceleration in U.S. consumer spending.
Japan's Nikkei 225 Average 30.12 points, or 0.19 percent, closing at 15,855.26 points while Hong Kong's Hang Seng Index dived 564.48 points, or 2.9 percent, to 18,639.53.
The market recovered in afternoon trading after opening sharply lower following the drop overnight in the U.S. market, where the Dow Jones industrial average lost 158.46, or 1.29 percent, to 12,121.71. It was the Dow's biggest slide since mid-July.
The U.S. retreat hurt export-oriented shares in Tokyo, including electronics makers and automakers.
Meanwhile, Japanese Finance Minister Koji Omi said the government plans to cut bond issues for the next fiscal year starting April as the country's economic recovery would likely boost tax revenues.
Elsewhere:
BANGKOK: Thai shares ended down, tracking weakness in regional bourses, overnight fall on Wall Street. The Stock Exchange of Thailand's SET index fell 1 percent at 727.33.
JAKARTA: Indonesia shares closed 2.2 percent lower at 1,691.08, hurt by a decline in the local currency and declines across Asian markets after stocks in the U.S. tumbled overnight.
KUALA LUMPUR: Malaysian shares declined amid profit taking after recent surges. The benchmark Kuala Lumpur Composite Index fell 11.06 points to 1,057.23.
MANILA: Philippine stocks fell on heavy volume, in step with Wall Street's overnight decline. The benchmark 30-company Philippine Stock Exchange Index lost 38.42 points, or 1.4 percent, at 2,779.14 points, after being little changed Monday.
MUMBAI: Indian shares ended lower, dragged by technology counters and profit-taking, with dealers warning markets may be volatile for the rest of the week. The Bombay Stock Exchange's benchmark 30-stock Sensex fell 171.64 points, or 1.3 percent, to close at 13,601.95.
SEOUL: South Korean shares lost ground after a sharp fall in U.S. markets overnight, with airline and technology issues among the major decliners. The Korea Composite Stock Price Index, or Kospi, fell 1 percent, or 13.66 points, to 1,411.47.
SHANGHAI: Chinese stocks fell as investors sold large-capitalized shares following recent gains. The benchmark Shanghai Composite Index declined for the third straight session, dropping 0.4 percent to 2,038.72.
SINGAPORE: Singaporean shares ended lower, but traders said the index will likely move upwards in the traditionally strong year-end season. The Straits Times Index fell 41.62 points, or 1.5 percent, to close at 2,799.32.
TAIPEI: Taiwan's shares snapped a winning streak, falling slightly after Wall Street's overnight slide. The Weighted Price Index of the Taiwan Stock Exchange dropped 53.21 points, or 0.7 percent, to 7,444.94.
WELLINGTON: New Zealand's stocks were almost unchanged as declines in stocks listed in both Australia and New Zealand offset a muted rally by bellwether Telecom Corp. on a better-than-expected regulatory outcome. The benchmark NZX-50 closed up 0.9 of a point at 3,832.55.
SYDNEY: Australian stocks fell sharply in the wake of declines on Wall Street, with banking and resource shares dragging down the market. The benchmark S&P/ASX200 index fell 67.9 points, or 1.25 percent, to 5,384.3, while the All Ordinaries index lost 64.7 points to 5,367.8.
With files from wire services
