HONG KONG, Sept 11: Asian stocks tumbled on Thursday after ailing US investment bank Lehman Brothers hit investor sentiment by posting more hefty losses due to the global financial crisis and credit crunch.

The bourses in Hong Kong, mainland China, Taiwan and Singapore all slumped more than three per cent. Japan, Asia’s biggest bourse, and Australia each shed almost two per cent.

Lehman announced plans Wednesday to sell off key assets to shore up its finances as it posted big losses linked to the US subprime real estate crisis.

Among smaller Asian markets Thursday, India and Malaysia tumbled around two percent, while Thailand and the Philippines fell 1.3 percent.

New Zealand shares ended marginally in the red even though the country’s central bank implemented a hefty interest rate cut.

TOKYO: Japanese share prices fell 1.98 per cent after a turnaround plan by Lehman Brothers failed to galvanise markets, sparking fresh worries over the US financial sector, dealers said.

The Tokyo Stock Exchange’s benchmark Nikkei-225 index shed 244.13 points to close at 12,102.50. The broader Topix index of all first-section shares fell 29.66 points or 2.49 per cent to 1,162.72.

HONG KONG: Hong Kong share prices closed down 3.1 per cent, dealers said.

The benchmark Hang Seng Index plunged 611.06 points to 19,388.72. Turnover was 69.60 billion Hong Kong dollars (8.92 billion US).

China Mobile dropped 5.29 percent to a 15-month low.

Ernie Hon, a strategist at ICEA Securities, told Dow Jones Newswires any rebound in the market would probably be short-lived because investors are waiting for an opportunity to offload their shares.

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

The benchmark S&P/ASX 200 index closed down 91.2 points at 4,814.3, while the broader All Ordinaries fell by 89.9 points or 1.81 per cent to 4,871.5.

Market turnover stood at 1.41 billion shares, worth 5.42 billion dollars (4.3 billion US).

Unless Lehman comes up with something tonight (a major capital injection), I can’t see anything that’s going to save this market, Ric Klusman, senior institutional trader at Aequs Securities, told Dow Jones Newswires.

SINGAPORE: Singapore shares closed 3.1 per cent lower, dealers said.

The blue-chip Straits Timex Index fell 81.26 points to 2,541.15. Volume was 1.11 billion shares worth 1.52 billion Singapore dollars (1.07 billion US).

KUALA LUMPUR: Malaysian share prices ended 2.0 per cent lower, dealers said.

The Kuala Lumpur Composite Index fell 21.63 points to close at 1,041.07.

Capitulation of foreign funds was very evident. The plantation sector took the brunt of the selling on sustained concerns of further weakening in the price of crude palm oil, one broker told Dow Jones Newswires.

JAKARTA: Indonesian shares closed 0.8 per cent lower, dealers said.

The Jakarta Composite Index fell 14.91 points to 1,870.13.

Bargain buying by select foreign institutional funds lifted the main index from its low amid generally bearish sentiment, a trader told Dow Jones Newswires.

WELLINGTON: New Zealand share prices closed 0.31 per cent lower, dealers said.

The benchmark NZX-50 index closed down 10.32 at 3,333.543.

A larger-than-expected 50 basis points cut in interest rates to 7.5 percent boosted the market, but the bourse was weak overall amid Asia-wide falls.

MUMBAI: Indian shares closed down 2.31 per cent, dealers said.

The benchmark 30-share Sensex index fell 338.32 points to 14,324.29. The markets are seeing stickiness. There is little appetite for equities at this stage, said a dealer at brokerage Jamnadas Morarjee.—AFP