China inflation concerns drags share values down

ASIA REPORT: Nikkei :10,274.52 (–162.79) Hang Seng:23,876.86 (–126.84) Shanghai Comp:2,715 (+37.64)

ASIAN SHARES were lower yesterday on renewed concerns that Beijing may take further tightening measures to fight inflation and slow economic growth, in the wake of stronger-than-expected economic data.

Sumitomo Metal Mining fell 5.4 per cent to ¥1,368. Toho Zinc dropped 4.1 per cent to ¥424, while Mitsubishi, Japan’s leading commodities trader, lost 4.5 per cent to ¥2,273. Komatsu, the maker of earth-moving machines, slumped 4.6 per cent to ¥2,415.

Overall, the Nikkei fell 1.6 per cent to 10,274.52, its biggest weekly loss in three months.

Hyundai Engineering Construction fell 5.1 per cent to Won83,800, while steelmaker Posco lost 1.3 per cent to Won469,500 and Korea Zinc shed 3 per cent to Won306,000.

In Sydney, heavyweight miners BHP Billiton lost 1.1 per cent to A$44.71.

The Shanghai Composite index ended the session up 1.4 per cent to 2,715.3. Poly Real Estate gained 3.5 per cent to Rmb13.48.

Oil company Cnooc fell 2 per cent to HK$18.64 while China Coal shed 2.3 per cent to HK$11.76. – (Copyright The Financial Times Limited 2011)