Asian stocks fall back?

MAKE MONEY BLOG$, Hong Kong - Asian stocks fall back this weekend because of new concerns after Moody's cut its ratings 16 Spanish banks, adding to earlier fears of capital flight from the Greek banks.


"This is really bad," said Ben Kwong, chief operating officer of KGI Asia based in Hong Kong. "Fear of Greece will come out of the European Union will give the negative consequences."
Tokyo Stock Exchange was closed this afternoon and dropped 2.99 percent for the seventh year in a row, the Korean stock exchange fell 3.4 percent, Hong Kong fell 1.3 percent, the Shanghai stock exchange slid 1.44 percent, down 2.61 per cent of Australian stock exchange , and the Taiwan bourse also fell 2.79 percent.
More than U.S. $ 240 billion in investor wealth disappeared in the sixth on a stock exchange. Of the Tokyo stock exchange just over U.S. $ 100 billion evaporated, according to data from FactSet.
Asian stock performance throughout the week is quite deep. Kospi (Seoul) fell 7 percent, the S & P ASX 200 (Australia) slumped 5.6 percent, and the composition of the Shanghai index also fell 2.1 percent.
Losses suffered by investors this week was triggered by news that the depositors withdraw funds from the bank on a large scale in Greece because of fear after the general election to be held next June will be out of the country's EU membership. At the end of this week investors hit by losses again after Moody's cut its ratings of 16 banks of Spain.
Kwong of KGI said investors continue to believe that the central bank will conduct a coordinated steps to ease market concerns.However, it will definitely take a long time. That makes investors out of stocks, borrow a Chinese saying, "We have to look at the coffin before we cry," he said.
Europe is one of the important partners in Asia, and concerns over Europe's banks will certainly exacerbate concerns about the wider European economy. European Union's single currency, euro, was depressed to below the level of U.S. $ 1.27 and reached its lowest level in four months.
From the Japanese market, Honda shares fell 3.61 percent, Toyota Motor Corp. plunged 3.7 percent, and Sony Corp. shrank 5.3 percent. Of Hong Kong, clothing retailer Esprit Holdings Ltd fell 4.1 percent, and the Hon Hoai Precision industry also slipped 2.9 percent in Taipei bourse. From Seoul, shares of Hyundai Motor Co. fell 4.8 percent, Kia Motors Corp. also cut 5.8 percent.
"The appreciation in the dollar against other currencies create negative sentiment for the market ekutias, and return the funds to flow into U.S. Treasuries," said Kwong.
Shares of Aluminum Corp. of China dropped 1.5 percent, China miner Shensua Energy Co. dropped 3.4 percent. Financial stocks suffered the hardest blow in Hong Kong. HSBS Plc fell 3.1 percent, Standard Chatered Plc fell 3.4 percent, and Mitsubishi UFJ Group Inc. shares also slumped 3.4 percent in Tokyo.
Westpac Banking Corp shares fell 3.8 percent on the stock Sydney and KB Financial Group Inc. also fell 3.4 percent on the Seoul bourse.
source: Asian stocks fall back?
please give me comments thanks

Posted in: Asian stocks,Greek banks,Moody's