A plunge in
Chinese share markets capped a miserable day for Asian equities on
Tuesday, with a renewed slide in oil prices giving investors few reasons
to reassess a darkening outlook for the global economy.
Japan's Nikkei .N225 fell 2.4 percent while Hong Kong's Hang Seng Index .HSI declined 2.3 percent, with MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS falling 1.5 percent after two days of gains since late last week.
Mainland Chinese shares .SSEC .CSI300 slumped more than six percent to a 14-month low in another sign that authorities in Beijing have their work cut out in their efforts to stabilise the fickle domestic markets.
European shares are expected to follow suit. Spreadbetters are expecting Britain's FTSE .FTSE and France's CAC 40 to .FCHI fall by as much as 0.8 percent and Germany's DAX .GDAX to drop 0.7 percent.
Crude oil prices have tumbled around 7 percent so far this week as top producers show no sign of cutting production.
The chairman of Saudi Aramco said on Monday the firm is continuing to invest in oil and gas production capacity, despite cost-cutting because of low oil prices.
Iraq's output reached a record last month and a senior Iraqi official said Iraq may raise output further this year.
Oil prices have fallen more than 75 percent from their 2012 peaks as global output was boosted by U.S. shale oil production and demand growth turned tepid, partially caused by the Chinese economy's slowing growth.
The massive price fall is putting huge pressure on profitability of energy firms worldwide, which are in turn slashing investment and cutting jobs.
The U.S. S&P .SPX fell 1.6 percent to 1,877.08, led by a 4.5 percent drop in the energy sector .SPNY.
Japan's Nikkei .N225 fell 2.4 percent while Hong Kong's Hang Seng Index .HSI declined 2.3 percent, with MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS falling 1.5 percent after two days of gains since late last week.
Mainland Chinese shares .SSEC .CSI300 slumped more than six percent to a 14-month low in another sign that authorities in Beijing have their work cut out in their efforts to stabilise the fickle domestic markets.
European shares are expected to follow suit. Spreadbetters are expecting Britain's FTSE .FTSE and France's CAC 40 to .FCHI fall by as much as 0.8 percent and Germany's DAX .GDAX to drop 0.7 percent.
Crude oil prices have tumbled around 7 percent so far this week as top producers show no sign of cutting production.
The chairman of Saudi Aramco said on Monday the firm is continuing to invest in oil and gas production capacity, despite cost-cutting because of low oil prices.
Iraq's output reached a record last month and a senior Iraqi official said Iraq may raise output further this year.
Oil prices have fallen more than 75 percent from their 2012 peaks as global output was boosted by U.S. shale oil production and demand growth turned tepid, partially caused by the Chinese economy's slowing growth.
The massive price fall is putting huge pressure on profitability of energy firms worldwide, which are in turn slashing investment and cutting jobs.
The U.S. S&P .SPX fell 1.6 percent to 1,877.08, led by a 4.5 percent drop in the energy sector .SPNY.
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