Japan's Nikkei hit 20 months low

Japan's Nikkei random to a 20-month low on Tuesday after a deeper slide on Wall Street increased investor aversion to risk.

The Nikkei share averaged down about 5 percent at 19,147.45 just after 11 am HK / SIN, falling past its lowest since early May 2017.

The wider Topix was also about 5 percent lower.

At the same time in Shanghai, the Shanghai index indexed losses of more than 2 percent by mid-day, approaching a four-year low it had hit in mid-October. Chinese sectors lost ground across the board, led by financial stocks and energy companies as oil prices declined.

The Shanghai stock index so far last year was 23.59 per cent, while the shares on the index declined 2.36 per cent a month. [1[ads1]9659003] These Asia movements followed the Wall Street shares and expanded their steep sales on Monday, while the S & P 500 dropped nearly 15 percent so far this month, as investors were rattled by the US Treasury Secretary's call for a crisis group and by other political development.

Many of the financial markets in Asia, Europe and North America are closed on Tuesday to Christmas day.

"Negative emotion has replaced logic, as it often happens at sales. One-third of sales are caused by panic, one-third by tapping and the remaining third by speculators trying to make money from the market," said Takashi Hiroki, chief strategist at Monex Securities in Tokyo.

"Sales are triggered entirely by developments in US markets, instead of negative factors that are unique to the domestic market. Treasury Secretary Steven Mnuchin called top US bankers Sunday in the midst of the withdrawal of shares and said he called a meeting with financial regulators to discuss ways to secure "normal operations".

Wall Street also took hold of US federal government closure and reported that President Donald Trump privately discussed the possibility of firing the Federal Reserve leader.

Japanese Blue chip stocks fell over the board, with Toyota Motor falling 5.1 percent, Sony throwing 4.5 percent, Nintendo down 4, 3 percent and Mitsubishi UFJ Financial Group lose 4 percent.

Defensive shares such as consumer founder, healthcare and tools could not withstand sales pressure. [19659003] Convenience store operator Familymart UNY Holdings fell 5.3 percent, health producer Kao fell 5.7 percent and Tokyo Electric P

All Tokyo stock market 33 subsectors were in red, led by precision machines and drugs.

-CNBCs Everett Ro senfeld contributed to this report.

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