HONG KONG, July 3: Asian stocks closed mostly lower on Thursday as some markets tumbled to their lowest levels for years after a record-breaking surge in oil prices deepened fears for the world economy.

Japanese shares edged down 0.16 per cent, falling for the 11th consecutive session in their longest such losing streak since the 1950s, while Australia’s market suffered a steep, 1.9 per cent tumble to its lowest close since 2006.

Investors took fright after oil crashed through 145 dollars per barrel and then the 146-dollar level for the first time Thursday, threatening higher inflation that could hit consumers, business profits and economic growth.

Indonesia hiked borrowing costs amid the oil rally, which had already forced Southeast Asia’s largest economy to increase state-set fuel prices substantially. That in turn has pushed inflation there above 11 per cent.

TOKYO: Japanese shares fell for an 11th straight session, the longest losing streak in half a century, on worries about the health of the global economy and high oil prices, dealers said.

The Tokyo Stock Exchange’s benchmark Nikkei-225 index dropped 20.97 points or 0.16 per cent to end at 13,265.40. The broader Topix index of all first-section shares slipped 3.13 points or 0.24 percent to 1,298.02.

The last time the benchmark fell for 11 straight sessions was in April 1954, when it declined for 15 straight trading days, a Nikkei spokesman said.

The index has fallen almost 1,200 points, or more than eight percent, over the past 11 sessions.

HONG KONG: Hong Kong shares closed 2.13 per cent lower, dealers said.

The Hang Seng Index closed down 461.67 points to 21,242.78. Turnover was 75.81 billion Hong Kong dollars (9.72 billion US).

Hong Kong stocks are expected to come under more pressure in the near term, as the outlook for both the US and China markets remains weak, Sun Hung Kai Financial strategist Castor Pang told Dow Jones Newswires.

SYDNEY: Australian share prices closed down 1.9 per cent, dealers said.

The benchmark S&P/ASX 200 index dropped 96.5 points to 4,998.3, its lowest level since September 2006, while the broader All Ordinaries lost 117.6 points to 5,094. Volume was 7.4 billion dollars (7.1 billion US).

There’s blood on the floor and on the walls, Austock senior client adviser Michael Heffernan said. “Resources stocks were carved up mercilessly.”Miner BHP Billiton fell 7.16 per cent to 39.82 while its takeover target Rio Tinto lost 7.83 percent to 121.95. MacArthur Coal fell 1.26 to 15.15. But National Australia Bank gained 46 cents to 26.48.

SINGAPORE: Singapore share prices closed 0.89 per cent lower, dealers said.

The blue-chip Straits Times Index fell 25.78 points to 2,880.45.

Volume totalled 1.14 billion shares worth 1.45 billion Singapore dollars (1.06 billion US).

KUALA LUMPUR: Trading on Malaysia’s stock exchange was called off for the entire session due to a technical failure.

JAKARTA: Indonesian shares closed 3.9 per cent lower, dealers said.

The Jakarta Composite Index fell 91.86 points to 2,286.61. Selling in mining and other commodity-related stocks has triggered investors to also sell most of their blue-chips amid fears that high oil prices could hurt the economy, Katarina Setiawan from Kim Eng Securities told Dow Jones Newswires.

WELLINGTON: New Zealand shares dived 2.18 per cent, dealers said.

The NZX-50 gross index fell 68.97 points to close at 3,094.42, its lowest level since June 2005.

Normally you have fear and greed driving markets. Last year it was greed -- and now it’s fear, said David Price of Forsyth Barr.

Telecom fell 11 cents to a new 15-year closing low of 3.28 dollars, second-ranked Contact Energy lost 17 cents to 7.71, and Fletcher Building dropped 11 cents to a three-year low of 6.21.

MUMBAI: Indian shares tumbled to close 4.18 pc lower, dealers said. The benchmark Mumbai 30-share Sensex index fell 570.51 points to 13,094.11, after gaining 5.42pc on Wednesday.

Rising oil prices and concerns of higher inflation data on Friday have spooked investors, said Atul Hatwar, dealer with brokerage Crosseas Securities.—AFP