Chinese investors returning from the New Year holiday were greeted by a 25 basis point hike in interest rates. The Shanghai Composite Index lost 0.9%, in Hong Kong the Hang Seng Index fell 1.4%, and in Japan the Nikkei 225 Index declined 0.2%.
Asian shares were mixed Monday. In China the Shanghai Composite Index fell 0.7% and in Hong Kong the Hang Seng Index edged down 0.3% as investors worried that inflation could rise further in the lead-up to Chinese New Year. However, Japan's Nikkei 225 Index climbed 0.7%.