Asian Stocks Recede On Stimulus, Property Worries

November 3, 2009 9:39 a.m. EST

Hong Kong (AHN) - Most Asian stocks were down Tuesday amid concerns about the withdrawal of stimulus measures and the threat of cooling property prices in Hong Kong.

Chinese stocks stood out as the exceptions for a third day, defying the regional declines to rise 37.6 points, or 1.2 percent, to end the day at 3,114.23.

In Hong Kong, the Hang Seng plummeted 380 points, or 1.8 percent, to 21,240.06. Chief Executive Donald Tsang was reported as saying that the government might intervene to prevent a bubble in the real estate market.

In Sydney, the S&P/ASX 200 lost 9 points, or 0.2 percent, to 4,531.50. The Melbourne Cup horse race distracted a number of traders.

As forecast, the Reserve Bank of Australia raised its overnight cash rate a quarter of a point to 3.5 percent. Australia is the first G-20 nation to raise interest rates.

The Kospi in Seoul fell 9 points, or 0.6 percent, to 1,549.92, with financial stocks leading the decline.

The Straits Times Index declined 24 points, or 1 percent, to 2,621.55. In Taipei, the Taiex fell 12.3 points, or 0.2 percent, to 7,322.93. In India, the Sensex dropped 491 points, or 3.1 percent, to 15,404.94.

The MSCI Asia Pacific Index was down 1.4 points, or 1.2 percent, to 115 on worries about the potential withdrawal of stimulus packages.

Japanese markets were closed for a holiday.