Chinese markets suffered another day of huge losses Monday as persistent worries about an economic slowdown and an increase in the supply of shares of listed companies weighed down stocks across-the-board.
China's Shanghai Composite, which fell in five of the previous six sessions, slumped 5.3% to end at 2,319.87, its lowest finish since December 2006, as investors remained disappointed that the government didn't announce any measures to shore up market sentiment, as expected.
In Shanghai, resource, real-estate and airline stocks fell sharply on poor market sentiment, with Aluminum Corp. of China, or Chalco dropping 8.8%, while Beijing North Star Co. and Air China tumbled by the daily 10% limit.
The benchmark Nikkei 225 Index advanced 146.04 points, or 1.12%, to close at 13165.45 while the benchmark Hang Seng Index gave up 1.1% to 20,930.67.
On the economic front, the Bank of Japan is scheduled to begin a two-day policy board meeting from Monday. The central bank's policy board's assessment of the economy would be keenly watched in the backdrop of a series of gloomy economic news, including Japan's real gross domestic product shrinking 2.4% in the April-June quarter.
In the banking sector, Sumitomo Mitsui Financial rose 2.5%, Mitsubishi UFJ gained 3.3% and Resona Holdings climbed 2.4%. Steel makers as well as real estate and oil-related stocks also were among the gainers.
Steel maker JFE Holdings gained 2.9%, Sumitomo Metal Industries soared 7.4% and Nippon Steel Corp. advanced 2.9%. In the oil sector, Nippon Oil advanced 1.9% and TonenGeneral Sekiyu KK rose 3.8%.
Real estate stock Mitsubishi Estate gained 2.9% and Nomura Real Estate Holdings rose 5.3%.
Among exporters, Canon gained 1.142%, Komatsu jumped 3.82%, Sony rose 2.59% and Toshiba advanced 1.61%. Sony and Toshiba reportedly plan to boost their percentage of their LCD television sets made by Taiwanese manufacturers under outsourcing contracts in a bid to cut costs. Automaker Suzuki added 1.1% after a report said the company plans to develop cars that run completely on bio ethanol and release them in the U.S. by around 2010.
Elsewhere:
Taiwan's weighted index declined 196 points or 2.72% to settle at 7,001.
Singapore's Straits Times index lost 21 points or 0.73% to finish at 2,777.
India's BSE 30 Index declined 79 points or 0.53% to close at 14,646.
Australia's S&P/ASX 200 advanced 0.1% to 4,985 after zigzagging through the session.
New Zealand's NZX 50 index dropped 0.5%.
South Korea's Kospi ended 0.3% lower at 1,567.71
with files from other wire services
