BANGKOK – More evidence the U.S. economy has hit a soft patch sent Asian shares broadly lower Thursday.

Oil prices fell below $100 a barrel after a report showed an unexpected jump in U.S. crude supplies, suggesting demand is weakening. The dollar strengthened against the euro and the yen.

Japan’s Nikkei 225 fell 1.6 percent to 9,568.87, as a rising yen battered the country’s powerhouse export sector. Toyota Motor Corp., the world’s top auto maker, plunged 3.1 percent, while Panasonic Corp. dropped 1.7 percent and Toshiba Corp. slid 1.9 percent.

South Korea’s Kospi index was down 1.1 percent at 2,117.12, a day after the government reported that the country’s consumer price index rose 4.1 percent from a year earlier. The rate has been above 4 percent for five straight months, which is outside the Bank of Korea’s so-called tolerance range for consumer price inflation.

Australia’s S&P/ASX 200 index shed 1.9 percent to 4,617.70, with mining shares hit hard by expectations of weaker worldwide growth. BHP Billiton, the world’s largest mining company, lost 2.1 percent. Rival Rio Tinto fell 1.9 percent.

Hong Kong’s Hang Seng index fell 1.5 percent to 23,271.80. Benchmarks in Singapore, Taiwan and mainland China were also lower.

Doubts about the U.S. economy’s strength were compounded Wednesday by weaker-than-expected reports on manufacturing and jobs. Any slowdown in the U.S. economy, the world’s largest, will ripple around the globe and hurt exporters in the many nations that rely on America as a key market.

The only good sign following all the bad news was that “we did not see panic selling,” said Tey Tze Ming, a manager with Saxo Capital Markets in Singapore.

The Institute for Supply Management’s manufacturing index fell to 53.5 in May from 60.4 in April. A reading of more than 50 indicates the manufacturing industry is growing, but the index had been as high as 61.4 in February. Private employers added just 38,000 jobs in May, down from 177,000 in April, according to payroll processor ADP. Analysts had expected 180,000 new jobs.

The Dow Jones industrial average dropped or 2.2 percent to 12,290.14. The S&P index lost 2.3 percent to 1,314.55. The Nasdaq composite fell 2.3 percent to 2,769.19.

Benchmark oil for July delivery was down 37 cents to $99.92 a barrel in electronic trading on the New York Mercantile Exchange. The contract lost $2.41 to settle at $100.29 on Wednesday.

The euro weakened to $1.4345 from $1.4374 Wednesday in New York. The dollar strengthened to yen 81.19 from 80.97 yen.

PARIS – A slowdown in growth in the U.S. and mixed corporate earnings dampened stock market sentiment around the world on Friday.

Data released the previous day showed the world’s biggest economy lost steam in the first three months of the year. That helped push oil prices to near $112 a barrel and pushed the dollar down against the yen and the euro.

In early European trading, France’s CAC-40 slipped 0.1 percent to 4,103 while Germany’s DAX was up 0.1 percent to 7,482. Britain’s FTSE 100 was closed as the country celebrated the nuptials of Prince William and Kate Middleton.

Wall Street was set for a lower opening, as Dow Jones industrial futures sagged by 14 points to 12,694 and S&P futures dropped marginally to 1,353.10.

Outside of the U.S., economic indicators were also downbeat. Inflation in the 17 euro countries crept up to 2.8 percent in April, official data showed, keeping the pressure on the European Central Bank to raise interest rates again later this year.

That has aroused concerns that higher borrowing costs may make it harder for financially troubled countries such as Greece, Ireland and Portugal to return to growth and manage their debt.

Other signs for the eurozone remained mixed. Unemployment was steady at 9.9 percent in March, although Spain’s rate rose sharply to a new eurozone record of 21.3 percent in the first quarter.

Nearly 5 million people are out of work now in Spain, the government said, adding pressure on the country as it tries to recover from nearly two years of recession and convince investors that it can handle its own debt load.

Two of Europe’s industrial bellwethers reported hefty growth in first quarter earnings. German car maker Daimler AG said net profit nearly doubled to euro1.2 billion in the period as its luxury Mercedes brand kept up its strong sales performance in China.

Total, Europe’s third largest oil producer, said its profit grew 50 percent in the first quarter thanks to sharply higher oil prices.

Meanwhile in Asia, equity markets also reacted nervously to the weak U.S. data overnight. Demand from the U.S. for Asia exports may actually slow,” said Dariusz Kowalczuk of Credit Agricole in Hong Kong.

Hong Kong’s Hang Seng index closed down 0.4 percent to 23,805.63, with yuan units of Hui Xian Real Estate Investment Trust falling 9.4 percent in their trading debut. They are the first equity securities denominated in China’s currency to trade outside of mainland China.

South Korea’s Kospi index slipped 0.7 percent to 2,192.36, with technology shares dragging the index down.

Samsung Electronics lost 0.8 percent after the company announced its first quarter profit fell 30 percent on declines in memory chip prices and reduced profitability in liquid crystal displays and flat screen televisions. Rival Hynix Semiconductor Inc. slid 1.6 percent. LG Electronics lost 3.7 percent.

Japan’s Nikkei 225 was closed for the start of Golden Week holiday. Benchmarks in Singapore, Taiwan, Indonesia, India and Thailand were also down.

Mainland Chinese shares snapped a five-session losing streak as the release of a survey showing lackluster growth in manufacturing suggested inflation may be under better control than earlier feared, easing the need for further credit tightening measures.

The Shanghai Composite Index gained 0.9 percent to 2,911.51, while the Shenzhen Composite Index gained 1.4 percent to 1,200.62. Shares in power companies, non-ferrous metals and steels led the gains while banks fell back on profit-taking after recent advances spurred by better-than-expected earnings reports.

Benchmark crude for June delivery was down 19 cents at $112.67 a barrel at midday Paris time in electronic trading on the New York Mercantile Exchange.

The euro was higher at $1.4867 from $1.4821 late Thursday in New York. It had peaked at $1.4881 Thursday, its highest point in nearly 17 months before softening. The dollar was down to 81.45 yen from 81.57 yen.

BANGKOK – A slowdown in growth in the U.S. and mixed corporate earnings dampened stock market sentiment in Asia on Friday.

Oil prices fell to near $112 a barrel as the news on the American economy blunted crude’s 33 percent gain over the past two months. A slowdown in growth in the world’s No. 1 economy also proved worrisome to Asian companies that count on strong U.S. consumer demand. The economy slowed sharply in the first three months of the year.

“Equity markets are reacting nervously to weak U.S. data overnight. Demand from the U.S. for Asia exports may actually slow,” said Dariusz Kowalczuk of Credit Agricole in Hong Kong.

Hong Kong’s Hang Seng index was down 0.4 percent to 23,805.63, with yuan units of Hui Xian Real Estate Investment Trust falling 7 percent in their trading debut. They are the first equity securities denominated in China’s currency to trade outside of mainland China.

South Korea’s Kospi index slipped 0.9 percent to 2,187.86, with technology shares dragging the index down.

Samsung Electronics lost 1.8 percent after the company announced its first quarter profit fell 30 percent on declines in memory chip prices and reduced profitability in liquid crystal displays and flat screen televisions. Rival Hynix Semiconductor Inc. slid 2 percent. LG Electronics lost 4.2 percent.

Australia’s S&P/ASX 200 was off 1.4 percent to 4,805.80, with mining shares among the big losers. The world’s biggest mining company, BHP Billiton Ltd., fell 1.5 percent. Shares in Rio Tinto Ltd. lost 1.7 percent.

Benchmarks in Singapore, Taiwan, Indonesia, India and Thailand were also down.

On the Chinese mainland, the Shanghai Composite Index was up 0.2 percent at 2,891.83, with China Eastern Airlines, one of the country’s three major state-owned carriers, up 1.2 percent after it announced profits had risen 32 percent in the first three months of the year, helped by a rebound in air travel.

Japan’s Nikkei 225 was closed for the start of Golden Week holiday.

On Wall Street, stocks closed at another 2011 high Thursday despite modest U.S. economic growth in the first quarter. The U.S. economy grew a 1.8 percent annual rate between January and March, the Commerce Department said. That’s the weakest rate since last spring and underscores concerns about the strength of the U.S. recovery. Higher oil prices cut into consumer spending and bad weather slowed down construction projects.

The S&P 500 rose 4.82 points, or 0.4 percent, to 1,360.48. The Dow Jones industrial average rose 72.35, or 0.6 percent, to 12,763.31. The Nasdaq composite gained 2.65, or 0.1 percent, to 2,872.53.

Corporate earnings were mixed. Procter & Gamble Co. rose nearly 1 percent after the maker of Tide detergent and Pampers diapers reported higher earnings but cut its forecast for the year due to rising costs for raw materials. Exxon Mobil Corp. — the world’s largest publicly traded company — fell 0.5 percent even after the oil giant reported its best quarterly earnings since 2008 — perhaps due to high expectations.

More people applied for unemployment benefits for the first time last week. The increase, the second in three weeks, suggests that the job market remains sluggish.

Benchmark crude for June delivery was down 36 cents to $112.50 in electronic trading on the New York Mercantile Exchange. The contract settled at $112.86 per barrel on the Nymex on Thursday.

The euro was higher at $1.4833 from $1.4821 late Thursday in New York. It had peaked at $1.4881 Thursday, its highest point in nearly 17 months before softening. The dollar was almost unchanged at 81.58 yen from 81.57 yen.

TOKYO – Most Asian markets retreated Thursday after fresh evidence of slower U.S. growth blunted appetite for riskier assets like stocks.

The latest sign of sluggishness in the world’s No. 1 economy came from the Federal Reserve’s regional survey, a report known as the “beige book.” The Fed said economic growth in the U.S. has been steady during the summer in some cities, but was slowing in others like Atlanta and Chicago.

The survey followed a U.S. Commerce Department report that showed durable goods orders fell 1 percent in June. Economists expected a 1 percent gain.

Japan’s Nikkei 225 stock average finished the morning session down 52.85 points, or 0.5 percent, to 9,700.42. Investors moved to lock in profits following a 2.7 percent jump the previous day.

Activity in the tech sector was dominated by reports that Panasonic Corp. plans to make Sanyo Electric Co. and Panasonic Electric Works Co. into full subsidiaries. Sanyo surged almost 27 percent. Shares of Panasonic tumbled 5.4 percent.

South Korea’s Kospi fell 0.2 percent to 1,771.32 and Hong Kong’s Hang Seng index lost 0.4 percent to 21,014.53. Australia’s S&P/ASX 200 was down 0.4 percent to 4,510.4 on weakness in banks.

Markets in Taiwan and Singapore also fell while benchmarks in China, Indonesia and New Zealand were higher.

In New York Wednesday, the Dow Jones industrial average finished down 0.4 percent at 10,497.88.The broader Standard & Poor’s 500 index fell 0.7 percent to 1,106.13, while the Nasdaq composite index fell 1 percent to 2,264.56.

In currencies, the dollar fell to 87.22 yen from 87.44 yen late Wednesday in New York. The euro rose slightly to $1.2999 from $1.2996.

Benchmark crude for September delivery was up 4 cents at $77.03 a barrel in electronic trading on the New York Mercantile Exchange. The contract dropped 51 cents to settle at $76.99 on Thursday.

NEW YORK (Reuters) –
Stocks fell at the open on Thursday as investors fretted about the pace of the economic recovery, though a better-than-expected drop in initial jobless claims limited the decline.

The Dow Jones industrial average (.DJI) dropped 43.91 points, or 0.43 percent, to 10,254.53. The Standard & Poor’s 500 Index (.SPX) fell 5.53 points, or 0.51 percent, to 1,086.51. The Nasdaq Composite Index (.IXIC) lost 10.28 points, or 0.46 percent, to 2,243.95.

(Editing by Jeffrey Benkoe)