Asian stocks fell on Monday as the U.S. shutdown continued. Tokyo lost 1.22 percent, or 170.99 points, to end at 13,853.32, Sydney fell 0.90 percent, or 46.9 points, to 5,161.1 and Seoul shed 0.13 percent, or 2.56 points, to 1,994.42, with growing nervousness at the lack of movement to end the crisis.
If U.S. borrowing limits are not raised by October 17 the country will run out of cash and Washington will not be able to pay its bills and will default.
“Markets remain unimpressed with the lack of progress in breaking the U.S. deadlock,” Kenichi Hirano, market adviser at Tachibana Securities, told Dow Jones Newswires.
Last week, U.S. President Barack Obama cancelled his trip to Asia, citing the shutdown. “Due to the government shutdown, President Obama’s travel to Indonesia and Brunei has been cancelled,” the White House said. “The President made this decision based on the difficulty in moving forward with foreign travel… and his determination to continue pressing his case that Republicans should immediately allow a vote to reopen the government.”
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