Asian stocks mostly fell on Monday as investors’ fears grew of a global recession.
In Japan, Mitsubishi UFJ Financial Group (MUFG) lost about 11 percent as a local newspaper reported that the bank will have to raise funds, as much as Y1,000bn, to bolster capital. With their decline, the Nikkei 225 Stock Average eventually hit a 26-year low. Japanese Prime Minister Taro Aso called an emergency meeting after the Nikkei share average had its biggest drop in 26 years.
Despite a report that the government was considering massive capital injection into troubled banks, the Nikkei index still opened lower on Monday.
Hong Kong’s Hang Seng Index also plunged 3.6 percent and Australia’s key stock measure was trading about 1.7 percent lower, reported AP.
The KOSPI index in South Korea fell 1.8 percent despite the central bank’s key interest rate cut by 0.75 percentage points for the second time this month.
According to Reuters, some of developing nations like Hungary have been asking for help from the International Monetary Fund. The IMF announced that a “substantial financing package”, which includes financing by the European Union and some individual European governments, had been created for Hungary. Also, the IMF agreed on a $16.5 billion loan package for Ukraine on Sunday as well.
댓글을 달아 주세요