Analysts at HSBC lowered their year-end forecasts for stocks in China and Hong Kong
Despite a strong start to the day, Asian stocks gave back some of their
oil-inspired gains from Monday. China's Shanghai Composite suffered a 0.8% setback, while Hong Kong's Hang Seng closed 0.3% lower, after financial giant HSBC slashed its year-end forecasts for stocks in both regions. In Japan, the Nikkei dropped 0.4% in the face of a resilient yen, while South Korea's Kospi edged 0.1% lower.
European markets have followed Asian stocks into the red. Leading the losers are banking heavyweight Standard Chartered and mining giant BHP Billiton, which both reported lackluster earnings. German stocks were also hit by a weak reading on business sentiment, pushing the DAX 0.8% lower. Elsewhere, London's FTSE 100 ended 0.6% in the red, and France's CAC 40 shed 0.5%
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