Global stock slide continues

---

TOKYO, Aug 16(AP): Asian stocks hit their lowest levels in months Thursday - and European stocks followed in early trade - battered by persistent anxiety over US housing loan problems and potential damage to global financial markets.
The benchmark Nikkei 225 index closed down nearly two per cent on the Tokyo Stock Exchange after falling below the key 16,000-point mark the first time since November.
South Korea's main benchmark fell 6.9 per cent to its lowest finish since May, and Hong Kong's blue chip Hang Seng Index dropped 3.3 per cent to its lowest close in two months.
Meanwhile, European stock indices dropped in morning trade, with Britain's FTSE and France's CAC-40 down 2.69 per cent, and Germany's DAX down 2.4 per cent.
The Philippine benchmark closed down 6.0 per cent, Taiwan's main stock index declined 4.6 per cent, China's main index in Shanghai fell 2.1 per cent, and Singapore's Straits Times Index dropped 3.7 per cent.
India's Sensex 30-stock benchmark index was down 3.9 per cent midday after plunging more than four per cent shortly after opening.
Wednesday in the US the Dow Jones industrial average decreased 1.29 per cent overnight to 12,861.47, closing below 13,000 for the first time since April 24.
Repercussions in Asian markets were bigger compared with the loss of 1.3 per cent overnight in the US - where the loan problems erupted - with at least three Asian markets losing more than six per cent on the day.
That's because of uncertainty over the size of impact on corporate earnings and the regional economy, said Shinichi Ichikawa chief strategist at Credit Suisse. He said the weakness of the dollar and the euro also fueled concern.
The Federal Reserve added more cash to the US banking system Wednesday, and other central banks have been pouring cash into their banking systems as well since the end of last week. The cash infusions appear to have done little to halt a global slide.
The Bank of Japan injected 400 billion yen ($3.4 billion) into money markets Thursday morning, the third time since last Friday it has acted to curb rises in a key overnight interest rate.
Despite those measures, banking issues took a beating in Tokyo on global credit concerns. Sumitomo Mitsui Financial Group was off nearly six per cent at midday.