Asia stocks all end Monday down

The Nikkei ended Monday at its lowest level since December 1984, though Fujitsu rose on job cuts

By staff and wire reports

HONG KONG, China -- Asian stocks fell again Monday, with most major markets posting losses of more than 1.5 percent.

Hong Kong led the way down, with a drop of 2.5 percent for the day. Asia's worst-performing index this year had little to cheer from U.S. losses overnight and recent earnings.

Japan fell for the fourth straight day. Stocks were down sharply in South Korea, and Taiwan suffered as investors had their first chance to react to Friday's disappointing growth figures.

Stocks were also down in Australia and New Zealand.

In Japan, the benchmark Nikkei index ended down 1.6 percent at 11,257.94.

That was its lowest close since December 11, 1984, when the Nikkei closed at 11,250.83.

The biggest corporate news gave the market a boost Monday, as chip and computer maker Fujitsu said it would cut 16,400 jobs, more than 10 percent of its work force.

The market has rewarded similar steps from other chipmakers, hoping they indicate a growing realism about prospects. Investors bid Fujitsu up 2.81 percent to 1,245 yen.

Investors are watching for the chip sector to bottom. But most technology shares were tumbling on Monday.

The broader Topix index fell 1.25 percent to 1,155.15. It has less of a technology bent than the Nikkei.

Japan's leading chip company, Toshiba, fell 4.1 percent to 561 yen.

Specialty chip maker Rohm Co. lost 2.4 percent to 13,010 yen.

Chip testing device maker Advantest, which like Rohm recently warned on profits, tumbled 6.12 percent to 7,210 yen.

Asian markets were also suffering from a poor showing on Wall Street on Friday. The Dow Jones industrial average lost 1.5 percent, while Nasdaq closed down 3.3 percent.

In Sydney, the benchmark S&P/ASX 200 slid 1.2 percent to 3,290.5. It was recovering in afternoon trade from a larger morning slump.

BHP Billiton, the largest mining stock trading in Australia, reported a net profit of $1.5 billion, or $2.2 billion before extraordinary items.

That was the first annual result for Anglo-Australian listing, formed in June, but its results were virtually flat on a comparative basis.

BHP Billiton stock initially fell 1.6 percent to A$9.09, but it ended down just 1.0 percent lower at A$9.13 in heavy trading.

Australia's largest telecom, Telstra Corp., was the most-active stock. The company, which has seen its stock struggle since it reported disappointing earnings, dropped 1.4 percent to A$4.85.

Investors are also fretting over its technology and dot.com holdings.

Australia's largest listing, media company News Corp., fell 3 percent to A$16.61.

It reported slightly better than expected earnings last week, but the profits still marked a big drop year-over-year.

Commonwealth Bank of Australia, the No. 2 bank, rose 8 cents to A$31.50 after arranging a new contract with CEO David Murray.

In Wellington, the benchmark NZSE-40 Capital index fell 0.4 percent to 2,031.26. Telecom New Zealand, the biggest stock, came back from losses to finish off 1 cent at NZ$3.24.

Hong Kong losses

Hong Kong's Hang Seng index had the largest losses in Asia. The benchmark dropped 2.5 percent to 11,458.70.

China Mobile, mainland China's biggest cell phone company, was still suffering from last week's disappointing earnings.

Hong Kong's second-biggest stock dropped 7.4 percent to HK$27.

That also depressed rival China Unicom, which plonked 5.1 percent lower at HK$10.30.

Hutchison Whampoa fell 3.2 percent to HK$67.50, its cell-phone operations also weighing on the market.

Hong Kong's biggest stock, bank HSBC, fell 1.9 percent to HK$92.25.

In Seoul, the benchmark Kospi ended down sharply, off 2.39 percent at 567.09 as investors cashed in last week's rally.

Dell's losses last week didn't help Korea's chip-driven stocks. Memory-chip maker Hynix Semiconductor was the most-active stock, dropping 6.4 percent to 1,525 won.

The market's biggest stock, Samsung Electronics, fell 3 percent to 190,000 won.

The largest cell-phone company in South Korea, SK Telecom, dropped 3.1 percent to 217,500 won.

In Taiwan, investors had their first chance to react to Friday's 2.35 percent drop in gross domestic product for the second quarter.

That was the worst quarterly showing in 26 years. The Taiwanese government now foresees a drop of 0.37 percent this year.

The Taiex ended Monday down 1.9 percent at 4,550.36, for its second day of losses.

Nasdaq's downturn on Friday was also hurting the chip-driven market. Taiwan's biggest stock, Taiwan Semiconductor Manufacturing, fell 2.2 percent to T$66.00.

Rival United Microelectronics, the second-biggest stock in Taiwan, fell 2.3 percent to T$38.00.

The electronics index overall fell 2.0 percent. Taiwan's largest maker of motherboards, Asustek Computer, fell 1 percent to T$147.00.

Stocks also closed down in Singapore. The Straits Times benchmark index ended down 0.6 percent, at 1,626.92.

It hit a four-week low in morning trade, and the index is down 15.6 percent this year.

Investors weren't bucked up by Prime Minister Goh Chok Tong's promises in Sunday's National Day address to shape the "New Singapore."

In Mumbai, stocks were off 0.5 percent at 3,281.06 in afternoon trade.

Reuters contributed to this report.