Asian stocks dip

Banking stocks were among the worst performers on Friday. Financials fell after the European Central Bank left rates steady. Investors are building in expectations that the Bank of Japan will also leave rates on hold meaning banks profitts won't benefit from higher rates in the near term. Japan's benchmark Nikkei fell 0.8 percent (16,122.16 ) with investors also cautious ahead of an important U.S. report on jobs. Major Hong Kong heavyweight HSBC also lost ground. HSBC shares will be restricted to a 15 percent index weighting on the benchmark Hang Seng index in accordance with new rules. Heavyweight China Mobile also fell on the news. Oil shares were among the top performers in the region. PetroChina gained ground as oil prices continue to surge and with a major bank upgrading its outlook for the shares. Investors next week are likely to play catch up with U.S. market reaction to the monthly jobs report. But many caution trade is likely to remain choppy ahead of a U.S. Central Bank meeting the following week. Tara Joseph-Hui reporting for Reuters. COMPANIES MENTIONED: HSBC, China Mobile, Petrochina SYMBOLS: 0005.HK, 0941.HK, 0857.HK

Submission | September 7, 2007

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