HONG KONG, Jan. 22 (Xinhua) -- Stock markets in the Asia-Pacficregion nose dived on Tuesday as investors dumped shares on fears of a possible U.S. economic recession that will spark a global slowdown.

    In Japan , the benchmark 225-issue Nikkei Stock Average plunged 752.89 points, or 5.65 percent, from Monday to end at 12,573.05, its lowest closing since Sept. 8, 2005.

    Australia's main share index, ASX/S&P 200, suffered its biggest daily loss on record with 7 percent being wiped out in the share market on Tuesday. South Korea saw the steepest daily fall since Aug. 16, 2007 as the benchmark Korea Composite Stock Price Index fell 74.54 points, or 4.43 percent, to 1,609.02 on Tuesday.

    Hong Kong's Hang Seng index lost 2,061.23 points, the largest single-day drop ever in points, to close at 21,757.63.

    Earlier in the day, Japanese economic and trade ministers said that the government would watch closely but would not take immediate actions over the plunging stock prices.

    Economic and fiscal policy minister Hiroko Ota and Economy, Trade and Industry Minister Akira Amari said separately that the volatile market was largely due to the global credit crunch from the U.S. subprime mortgage crisis, and called for unified global action against the trend.

    Yoshimi Watanabe, State Minister in Charge of Financial Services held talks with Prime Minister Yasuo Fukuda over the stock market development on Tuesday and said that he hoped to take measure as early as possible to cope with the situation.

    For his part, Indian Finance Minister Palaniappan Chidambaram urged Indian investors to stay calm after the Indian stock benchmark Sensex tumbled more than 11 percent in the first few minutes of trade Tuesday.

    "We had anticipated the market to open on a downward trend and hit the circuit breaker. My advice to investors is to stay calm," Chidambaram said after the plunge.

    The South Korean Finance Ministry said Tuesday that the government will convene an emergency meeting on Wednesday to discuss measures against the sharp plunge in the stock market.

    Senior government officials will review the latest development of the financial market in South Korea and other countries and discuss counter-measures, said the Finance Ministry.

    Australian Treasurer Wayne Swan said on Tuesday that continuing growth in Asia would help Australia ride out the turbulence in world financial markets.

    Swan said uncertainty remains about the extent of losses associated with the US sub-prime mortgage market collapse.

    "However, I note we are well placed to ride out the turbulence... The prospects for ongoing growth in Asia and the developing markets are assisting us to withstand the fallout occurring elsewhere." the treasurer said in a statement.

Seoul stock market ends sharply down

    SEOUL, Jan.22 (Xinhua) -- The benchmark Korea Composite Stock Price Index (KOSPI) closed sharply down by 74.54 points, or 4.43 percent, at 1,609.02 on Tuesday.

    The trade volume of KOSPI was moderate at 312.2 million shares worth 6.82 trillion won (7.15 billion U.S. dollars), with losers outpacing gainers 764 to 78. 

    The local currency finished at 954 won to one U.S. dollar, down 5.5 won from Monday's close.

Investors lose 160 bln dollars within minutes in India share market

    NEW DELHI, Jan. 22 (Xinhua)-- Investors lost 6.55 trillion rupees (some 160 billion U.S dollars) on Tuesday within minutes of opening of the Bombay Stock Exchange, which was immediately suspended for an hour after the 30-share barometer index Sensex hit the circuit limit of 10 percent. 

    This loss comes on top of over 11 trillion rupees (some 300 billion dollars) loss suffered by investors in the last six days. Full story