Growing concerns over global recovery dampen Asian stocks

TOKYO — Asian stock markets were mixed yesterday on growing worries the global economic recovery is running out of momentum.

Weaker data from major economies over the past few weeks has diminished confidence in a strong rebound from last year’s global recession and unnerved markets, many of which are in the red so far this year.

A report showing weaker growth in Europe’s services and manufacturing sectors added to the unease.

Japan’s benchmark Nikkei 225 stock index was down 0.9 percent at 9,181.78. The index fell nearly two percent at one point to a seven-year intraday low.

South Korea’s Kospi declined 0.8 percent to 1,661.79 and markets in Singapore, Indonesia, Malaysia and New Zealand also fell.

In the green was Hong Kong’s Heng Seng which added less than 0.1 percent to 19,849.90 and the Shanghai Composite Index, up 1.5 percent at 2,398.88. Benchmarks in Taiwan, Thailand and India gained as well.

In Tokyo trade, exporters came under selling pressure from a stronger yen, which reduces the value of their overseas profits. Nintendo Co. shed 1.9 percent and Sony Corp. lost 1.5 percent.

In currencies, the dollar fell to ¥87.61 from ¥87.75 late Monday. The euro weakened to $1.2532 from $1.2537.

Benchmark crude for August delivery was down 53 cents at $71.61 a barrel in electronic trading on the New York Mercantile Exchange.

Meanwhile, European markets found some support in a report showing retail sales in the region rose modestly in May.

By early afternoon European time, the British FTSE 100 was flat at 4,836.28, as was Germany’s DAX, at 5,834.21. France’s CAC-40 was down 0.3 percent at 3,340.00.

“Growth fears have in particular been centered on the US in the wake of a run of disappointing data,” said Mitul Kotecha, an analyst at Credit Agricole.

While some investors may be quietly buying back into the market after heavy losses last week, overall sentiment is cautious.