DEBORAH MARCHINI, CNN ANCHOR: Time now for a check of the Asian market action, which was mostly to the downside. Dalton Tanonaka joins me live from Hong Kong for that. Hi -- Dalton.</s>DALTON TANONAKA, CNN CORRESPONDENT: Hi, Deb. Tokyo stocks were hurt by growing doubts over the possibly aggressive interest rate policy stance by the U.S. Federal Reserve Board in their meeting on Tuesday. The benchmark Nikkei slipped 1.2 percent this trading day, with tech issues leading the decline there. Investors were also cautious ahead of earnings reports out later in the week from tech giants, such as Kubota. In Hong Kong, stock prices closed sharply weaker. Fears that a U.S. interest rate cut would be smaller than expect triggered selling in property and bank stocks. The Hang Seng index finished down nearly 2.75 percent. Index heavyweight HSBC lost more than 2 percent, following the reports that the bank could be close to merger with Merrill Lynch. But an HSBC spokesman says the two companies had not had any talks about extending their relationship beyond an Internet service venture launched last month. In Taiwan, stock prices closed lower, as well, on losses in computer maker Acer. The TAIEX ended down 1 percent, with Acer falling more than 6 percent. Acer says it lost $20 million dollars following a fire on Sunday that damaged its offices in Taiwan. And that is the business day here in Asia. Back to you, Deb, in New York.</s>MARCHINI: All right, thank you, Dalton.
Asian Market Update: Stocks Lower Before U.S. Fed Meeting