Asian markets fall on US, Europe woes

The yen rose against the euro and dollar as investors sought out its safety and dealing a blow to Japan's exporters, while the European unit also hit a two-month low against the greenback.

Chinese shares were down in afternoon trade, as property shares tumbled on concerns over government intentions to maintain policies to control housing prices, dealers said.

Tokyo was 0.18 percent down, or 15.39 points, at 8,661.05, as an early bargain-hunting rally give way to the stubbornly high yen.

Sydney fell 1.53 percent, or 68.23 points, 4,379.8, representing its biggest fall in four months, while Seoul lost 0.59 percent, or 11.17 points, to end at 1,889.70.

In afternoon trade Hong Kong fell 0.82 percent, while Shanghai gave up 1.50 percent.

Eurozone finance ministers said Monday after a meeting that Greece had made "considerable progress" towards meeting demands for its next batch of rescue cash but added they would have to meet again next Tuesday to decide whether to release it.

While Greek Prime Minister Antonis Samaras had warned the country would go broke by Friday if Monday's meeting failed to produce the aid, Eurogroup head Jean-Claude Juncker said the debt due on that day could be rolled over.

Athens last week passed a package of austerity measures worth 13.5 billion euros demanded by the European Union, International Monetary Fund and European Central Bank in return for the money. And on Sunday, lawmakers passed a tough 2013 budget.

The eurozone finance ministers also agreed that revised fiscal targets "as requested by the Greek government and supported by the troika, would be an appropriate adjustment".

Athens wants its current 240 billion euros bailout accord running to 2014 to be extended to 2016, giving it more time to meet the targets.

In the United States, investors are growing increasingly nervous about the approaching fiscal cliff of spending cuts and tax rises that threatens to send the economy back into recession if a cross-party deal is not brokered.

The package, which is due to come into effect on January 1, was put together after a protracted compromise was reached last year -- with the expectation that a less painful plan could be agreed -- to raise the country's borrowing cap.

"There has been no improvement on the European debt crisis or the US fiscal cliff," said James Rosenberg, Macquarie Private Wealth investment advisor in Australia.

In Asian currency trade the euro fell to $1.2683 -- around its lowest since early September -- and 100.58 yen, compared with $1.2709 and 101.02 yen in New York late Monday.

The dollar was at 79.30 yen against 79.49 yen.

Traders are keeping an eye on events in Beijing, where the Communist Party's 18th Congress is in its final days and China's leaders for the next 10 years are due to be unveiled.

Investors hope the next few days will provide a little more clarity over policy for the world's number two economy.

On oil markets New York's main contract, light sweet crude for delivery in December, shed 56 cents to $85.01 a barrel in the afternoon and Brent North Sea crude for December delivery fell 57 cents to $108.50.

Gold was at $1,724.90 by 0630 GMT compared with $1,736.60 late Monday.

In other markets:

-- Taipei shed 1.81 percent, or 131.70 points, to 7,136.05.

Smartphone maker HTC was down 6.83 percent at Tw$225.0, and Taiwan Semiconductor Manufacturing Co dropped 1.10 percent to Tw$90.3.

-- Wellington fell 0.34 percent, or 13.44 points, to 3,970.55.

Fletcher Building was off 0.94 percent at NZ$7.41, Telecom lost 1.64 percent at NZ$2.40 and Air New Zealand was steady on NZ$1.25.

-- Kuala Lumpur and Singapore were closed for public holidays while Mumbai was open for a traditional 75-minute ceremonial trading session to mark Diwali.