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Asian markets lower amid grim outlook for world economy
AFP - 2 hours 2 minutes ago
HONG KONG (AFP) - - Asian stock markets were mostly lower Monday as investors remained concerned about the global financial system amid further weak economic data out of Japan and warnings of a bleak 2009 ahead.
The grim outlook continued to sap sentiment despite a slew of economic stimulus packages and US President George W. Bush's unveiling of a 13.4-billion-dollar rescue for the ailing US auto industry.
Hong Kong shares lost 3.3 percent, Sydney 1.6 percent, Taipei 3.39 percent, Singapore 2.78 percent and Shanghai 1.52 percent.
However Tokyo bucked the trend, gaining 1.57 percent, on the back of the US auto bailout.
The move into positive territory came even though the government said for the first time since 2002 that the outlook for the world's second biggest economy was getting worse.
As industrial production and corporate profits deteriorate, "the economy is likely to continue worsening for the time being," the Cabinet Office said in its monthly report.
That came after figures showed a record drop in exports as the worst global financial crisis in decades bites deeper and a strengthening yen makes it harder for Japanese exporters to sell overseas.
Japan reported a trade deficit of 223.4 billion yen (2.5 billion dollars) in November as exports fell at their fastest-ever rate, the finance ministry said.
Toyota, which vies with GM for the crown of the world's largest automaker, said it faced an "unprecedented" crisis and expected an operating loss of 150 billion yen (1.69 billion dollars) -- the first since the company began announcing those figures in March 1941.
That news followed International Monetary Fund chief Dominique Strauss-Kahn's warning on Sunday of a "very dark" 2009 that could be worse than expected if nations did not take sufficient action.
US president-elect Barack Obama announced he would add 500,000 jobs to a 2.5-million-job creation goal.
TOKYO: Japanese stocks gained 1.57 percent.
The Tokyo Stock Exchange's benchmark Nikkei index ended up 135.26 points at 8.723.78. The Topix index of all the Tokyo Stock Exchange first section issues rose 14.29 points or 1.71 percent to 848.72.
Investors bought back a broad range of shares after the White House said Friday that it will give a multi-billion-dollar loan to the ailing US auto industry.
Exporters mostly rose as the surge of the yen tapered off just above 90 to the dollar.
Sony rose 1.59 percent to 1,850 yen, while Honda Motor jumped 5.42 percent to 1,905.
Industry leader Toyota Motor edged down 0.17 percent to 2,895 on news of a downgrade. Toyota said after the bell that it expected to post its first-ever operating loss in the current year.
Mizuho Financial Group surged 3.96 percent to 270,200.
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