* Crude oil up $1 on international tension with Russia
* Exporter shares under fire as global growth seen falling
* Scepticism trounces hopes for China fiscal stimulus plan
By Kevin Plumberg
HONG KONG, Aug 21 (Reuters) - Asian stocks fell on Thursday
on gloom about the ability of exporters to weather a widespread
economic slowdown, while the U.S. dollar slipped as oil prices
rose to above $116 a barrel and halted a rally in the currency.
The U.S. housing market, the source of a financial crisis
that threatens to drag all Group of Seven rich nations into a
recession, remained a chief concern, as shares of top mortgage
finance companies Fannie Mae <FNM.N> and Freddie Mac <FRE.N>
tumbled overnight to their lowest in nearly 20 years.
Crude prices rose for a third day after an agreement on a
U.S.-Poland missile shield drew a cold response from Russia,
the world's second-largest oil producer. Crude edged to above
$116 a barrel <CLc1>, adding cost headaches to corporate
managers already frazzled by shrinking demand.
"Exporters don't have power to keep rising as the U.S. and
European economies are getting worse and the demand volume is
declining," said Takahiko Murai, general manager of equities at
Nozomi Securities in Tokyo.
Shares of high profile exporters such as Canon Inc
<7751.T>, Samsung Electronics Co Ltd <005930.KS> and Taiwan
Semiconductor <2330.TW> were among the top drags on their
respective indexes.
Japan's Nikkei share average <> slipped 0.3 percent,
within striking distance of chart support around 12,670, below
which would mark a 4-1/2-month low.
Outside Japan, Asia-Pacific shares fell 0.7 percent,
approaching a 17-month low touched on Tuesday, according to an
MSCI index <.MIAPJ00000PUS>.
Hong Kong's Hang Seng index <> dropped 1.3 percent
after dipping to a 1-year low on Wednesday, with a fall in
China Mobile <0941.HK> shares leading the way.
The Shanghai composite index slipped 1.7 percent <>,
unable to sustain momentum after posting its biggest single-day
rise in four months on Wednesday.
Hopes for a near-term fiscal stimulus package from Beijing
faded amid doubts about the need for government support in what
is still the world's fastest growing major economy.
Louis Wong, research director with Phillip Securities in
Hong Kong, said markets were unlikely to get a helping hand
from China's government any time soon, especially as the
country's financial sector is in relatively good shape compared
with Europe and the United States.
"There have been no bank failures in China and mainland
banks are reporting high double digit earnings growth, so what
is the logic for a stimulus package?" he said.
Unidentified officials with China's National Development
and Reform Commission and the Ministry of Finance denied or
said they were unaware of market talk that China was
considering a 200-400 billion yuan stimulus plan, according to
the International Finance News.
There were also signs that slack demand from developed
economies for Asian exports is shifting the global trade
dynamic. July figures from Japan showed exports to China topped
exports to the United States for the first time since World War
II. []
Whether demand from China alone could support the entire
global economy is another issue altogether. Expectations for
the global economy have fallen to their lowest level in nearly
18 years, with the outlook in Western Europe and Asia
deteriorating, the Ifo economic research institute said on
Wednesday.
U.S. crude futures <CLc1> rose by $1 to more than $116.60 a
barrel on supply concerns after Russia expressed its
displeasure over a U.S.-Poland missile shield pact.
That helped hold back the U.S. dollar, which has rallied
more than 8 percent in the last month against the euro on
increasing signs the European Central Bank will not raise
interest rates this year to fight inflation as the economy
shrinks.
The euro was up 0.25 percent to $1.4779 <EUR=>, well above
a six-month low of $1.4630 touched on Tuesday, but 8 percent
below a record high of $1.6040 in mid-July.
Against the yen, the dollar slipped 0.2 percent to 109.61
yen <JPY=>, about a yen below a seven-month high of 110.67 yen
hit last week.
Spot gold <XAU=> edged up to around $815 an ounce as firmer
oil prices encouraged safe-haven asset buying.
