Japan's stock indices dropped to a one-month low on Monday as the lack of progress in resolving the U.S. budget standoff left investors increasingly frustrated, with U.S.-reliant exporters like Toyota Motor Corp coming under pressure.
The Nikkei 225 index in Japan fell 170.99, or 1.2% to 13,853.32
Hong Kong’s Hang Seng Index faded 164.59 points, or 0.7%, to 22,973.95
Among exporters with high exposure to the U.S. market, Toyota fell 1.5%, Sony Corp shed 1.8% and Subaru-maker Fuji Heavy Industries Ltd dropped 3.3%.
Hong Kong shares fell on Monday, led by Sun Hung Kai Properties on fears of weak demand after local media said the world's second-largest real estate developer was offering cash discounts at a relaunched project.
Sun Hung Kai Properties shares sank 2.6%, closing at their lowest since Sept. 13. Overall turnover was weak as investors steered from risk with the U.S. budget impasse showing no signs of resolution.
Australia’s index dropped in thin trading due to a public holiday in several Australian states.
In Singapore, shares in small companies were under pressure as three companies fell precipitously after the Singapore Exchange lifted trading suspensions on both stocks and applied stricter trading rules to them.
Sterilization-services company Blumont Group was last down 82% investment firm Asiasons Capital sank 83%, and precious metals firm Liongold Corp. dived 66%.
The Singapore Exchange barred short selling and margin trading of these firms, declaring them "designated securities" subject to stricter rules and added scrutiny.
In other markets;
Markets in Shanghai remained shuttered for holidays until Tuesday.
Korea’s Kospi Index lost 2.56 points, or 0.1%, to 1,994.92
Taiwan’s Taiex index subsided 30.89 points, or 0.4%, to 8,333.66
The Singapore Straits Times Index dropped 1.49 points to 3,136.59
In New Zealand, the Exchange 50 Gross Index subtracted 3.34 points, or 0.1%, to 4,756.04
In Australia, the S&P/ASX 200 moved lower 46.90 points, or 0.9%, to 5,161.11
