Monday, October 15, 2007

Asian Stocks Fall in U.S. Trading, Led by Lenders, Automakers

By Eric Martin

Oct. 15 (Bloomberg) -- Asian stocks fell in U.S. trading. Mitsubishi UFJ Financial Group Inc. and Mizuho Financial Group Inc., Japan's largest banks, declined after Citigroup Inc. said defaults will plague the financial industry for the rest of the year.

The Bank of New York Co.'s Asia ADR Index, tracking the region's American depositary receipts, declined 1.3 percent to 176.95.

U.S. stocks fell the most in five weeks after Citigroup, the largest U.S. bank, said earnings fell 57 percent in the third quarter and Chief Financial Officer Gary Crittenden said late payments on home loans may worsen in the fourth quarter. Bank of America Corp. and JPMorgan Chase & Co. also retreated.

Mitsubishi UFJ dropped 49 cents to $9.41 and Mizuho retreated 35 cents to $11.25.

Companies that generate sales in the U.S. also fell. Toyota Motor Corp., which overtook Ford Motor Co. in August to become the No. 2 automaker in the U.S., retreated $4.52, or 4 percent, to $108.11. Honda Motor Co., Japan's second-largest carmaker, slid $1.14, or 3.3 percent, to $33.15.

BHP Billiton Ltd. dropped $1.55 to $83.20 after the world's largest mining company was cut to ``neutral'' by Macquarie Bank Ltd. on valuation concerns.

Nikkei 225 Stock Average futures expiring in December were at 17,320 in Chicago, 17,415 in Singapore and 17,430 in Osaka.

Last Updated: October 15, 2007 17:08 EDT

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