Asian shares slip

Rising tensions on the Korean peninsula hit Asian stocks Monday with markets in Seoul and Tokyo sinking as the South decided to press ahead with a live-fire artillery drill.
Traders were wary that the exercise would provoke an aggressive response from the North and had already prompted an emergency session of the UN Security Council at the request of Russia.
Seoul ended down 0.30 percent, or 6.02 points, at 2,020.28 and Tokyo fell 0.85 percent, or 87.42 points, to 10,216.41.
However, earlier losses were pared and the won bounced back from previous falls on reports that US negotiator Bill Richardson had managed to persuade Pyongyang to permit the return of UN nuclear inspectors.
Hong Kong slipped 0.33 percent, or 75.77 points, to 22,639.08 as the banking sector was hit by lingering concerns over European debt levels and a possible rate hike in China. Shanghai tumbled 1.41 percent, or 49.18 points, to 2,852.92 on the rate worries.
Sydney fell 0.56 percent, or 26.5 points, to 4,736.6. Seoul began the US-backed tests in the afternoon on the South's island of Yeonpyeong, which Northern forces shelled last month, killing four South Koreans, two of them civilians.
Shares in Shanghai were sent tumbling as lingering fears China will hike interest rates to tame inflation hit property developers.
On currency markets the won rose against the dollar, rebounding from a one-month low earlier in the day, as dealers welcomed the North's agreement with Richardson.
In early European trade the single currency fell to 1.3162 dollars from 1.3185 in New York late Friday and to 110.39 yen from 110.78 yen. The dollar edged down to 83.88 yen from 83.94 yen.
Ireland's downgrade came a day after European leaders agreed to set up a permanent financial stability mechanism from 2013 to shore up the euro amid fears Portugal and Spain may need bailouts after Irish and Greek rescues.
In other markets:
Singapore closed down 0.64 percent, or 20.05 points, at 3,132.96. Kuala Lumpur edged down 0.27 percent, or four points, to 1,495.88.
Bangkok fell 1.56 percent, or 15.95 points, to 1,006.51.
Mumbai closed up 0.12 percent, or 24.03 points, at 19,888.88.