Asian markets fell on Tuesday, with resource stocks hit by a decline in commodity prices and comments from an executive at mining giant BHP Billiton Ltd. that Chinese demand growth was slowing.
In Hong Kong, the Hang Seng Index gave back another 227.05 points, or 1.1%, to 20,888.20. Markets in Japan took the day off.
Prices of commodities such as gold, copper and crude-oil weakened as the U.S. dollar strengthened against major rivals.
Meanwhile, a BHP executive said Tuesday that Chinese demand for iron ore in particular was "flattening out." Chairman Jacques Nasser separately said the company is reevaluating its massive spending plans as slowing mainland demand for commodities prompted a more cautious outlook.
While shares of BHP declined a modest 0.1% in Sydney, other resource sector stocks fell harder. Rio Tinto Ltd. dropped 0.4%, Fortescue Metals Group Ltd. shed 1% and Alumina Ltd. lost 2%.
Shares in New Hope Corp. Ltd. dropped 1.1% after the coal producer reported a 75% fall in first-half profit.
In other news from Australia, minutes of the Reserve Bank of Australia’s March policy meeting that were released earlier in the day showed concerns about Europe’s debt crisis and the impact of a strong Australian dollar.
Elsewhere in the region, Aluminum Corp. of China Ltd. shed 2.6% and Jiangxi Copper Co. lost 2.4% in Hong Kong; in Shanghai, they gave up 2.5% and 2.6%, respectively. In Seoul, Korea Zinc Co. shed 2%.
Shares of China Petroleum & Chemical Corp. tumbled 3.9% and PetroChina Co. gave up 1.2% in Hong Kong. In Shanghai, each fell 0.5%.
The drop came despite China’s decision Monday to raise retail gasoline and diesel prices by 6.4% and 7%, respectively. Analysts at Barclays said was inadequate for the refiners to break-even amid rising crude-oil prices.
Shares of Hong Kong real-estate group Sun Hung Kai Properties Ltd. retreated 2.4%, coinciding with news that an executive director with the company was arrested on allegations of bribery.
Some of the region’s technology shares advanced after Apple Inc. announced plans on Monday to return some of the massive cash balances on its books to shareholders.
In Seoul, shares of LG Display Co. rose 0.7%, while Samsung Electronics Co., which hit an all-time high during the session, finished 0.6% higher
In other markets;
The Shanghai CSI 300 ducked back 45.57 points, or 1.7%, to 2,584.45
Korea’s Kospi Index slumped 4.85 points, or 0.2%, to 2,042.15
The Taiex index in Taiwan dipped 71.22 points, or 0.9%, to 7,972.70
Singapore’s Straits Times Index regained 12.64 points, or 0.4%, to 3,002.73
New Zealand’s NZX 50 Index inched up 1.04 points to 3,487.01
Australia’s S&P/ASX 200 Index slid 15.78 points, or 0.4%, to 4,275.02
