ASIAN MARKETS and ECONOMICS

Asian shares fall as investors expect more dismal news
Indexes across Asia were down Monday as companies worldwide reduced their forecast results for the year. Japan's Nikkei 225 Average dropped 0.5%, Australia's benchmark stocks index slid 1% and Hong Kong's Hang Seng Index declined 2%. The MSCI index gave up 1.1%. Meanwhile, central banks in Australia and Indonesia are expected to cut interest rates this week. International Herald Tribune/Reuters (02 Feb.)

China's consumers not ready to fill gap left by exports
The most recent GDP numbers confirm that China's economy, which depends heavily on exports, is slowing, expanding only 6.8% in the fourth quarter of 2008 compared with 2007. Experts have long warned that China needs to stimulate domestic consumption to reduce its vulnerability to downturns in the export market, but a recent survey suggests that consumer spending is likely to weaken in coming months. FinanceAsia.com (02 Feb.)

China's premier denies domestic savings caused meltdown: Chinese Premier Wen Jiabao told the Financial Times that China will do whatever is necessary to boost its economy and increase domestic consumption. He denied that the country's enormous savings contributed to the financial meltdown, dismissing the suggestion as "ridiculous." Financial Times (01 Feb.)