Asian markets ended mostly lower Tuesday, with Japanese stocks snapping a six-session winning streak as exporters dropped on the yen's renewed strength.
In Tokyo, the Nikkei 225 Index surrendered 27.13 points, or 0.3%, to close at 10,140.47
In Hong Kong, the Hang Seng Index tumbled 264.44 points, or 1.2%, to 22,060.52.
Trading volumes were light in several regional markets as investors counted down to the coming holiday season.
Hong Kong heavyweight stock HSBC Holdings dropped for a third session amid reports that Dubai World is in talks with its bank creditors, including HSBC, after recently seeking a standstill on billions of dollars of its debt. HSBC shares dropped 2%.
Banks were generally weaker across the region, in line with their U.S. peers, as the recent better-than-expected U.S. economic data, in particular Friday's employment report, have raised the possibility of higher interest rates ahead, despite U.S. Fed Chair Ben Bernanke's continued dovish stance.
In Sydney, National Australia Bank slipped 0.4% and Commonwealth Bank of Australia slid 1.3%.
Shinhan Financial eased 0.6% in Seoul, Mizuho Financial Group fell 2.4% and Shinsei Bank slumped 6.4% in Tokyo.
Bank of China lost 1.4% in Shanghai and 1.6% in Hong Kong, while DBS Group Holdings gave up 0.5% in Singapore trading.
In Tokyo, exporters were trading lower as the yen gained against the dollar.
Nissan Motor declined 0.9%, with Nikon and Canon falling 1.1% each.
Reaction to the Japanese government's new stimulus package was muted. The government earlier Tuesday unveiled the package, which included 7.2 trillion yen ($80.6 billion U.S.) in spending.
The stimulus plan is aimed at countering problems threatening the country's flagging economic recovery, such as the yen's strength and deflation
Several energy stocks declined as crude-oil futures fell to a fresh eight-week low in New York Monday amid concerns about continued weak U.S. oil demand.
Woodside Petroleum slipped 0.2%, Inpex lost 0.6% in Tokyo, with Cnooc dropping 1.2% and PetroChina sliding 1.6% in Hong Kong.
Elsewhere;
The Shanghai 300 Composite Index let go of 44.81 points, or 1.2%, to 3,624.02
Taiwan’s Taiex index shed 6.93 points to 7,768.71
Singapore’s Straits Times index gained 8.52 points, or 0.3%, to 2,805.50
Korea’s Kospi index slid 4.87 points, or 0.3%, to 1,627.78
New Zealand’s NZX Index finished 1.27 points lower to 3,137.30
Australia’s S&P/ASX 200 fell 5.90 points to 4,670.60
