HONG KONG, CHINA - Asian stocks tumbled Monday as concerns about US corporate earnings, low American consumer confidence and the poor global economic outlook shook investors, punishing shares in Japan and China.

Tokyo tumbled just over three percent and China slid more than 5.6 percent as trading screens across Asia turned red. Hong Kong fell nearly 3.5 percent with Australia, Taiwan, South Korea and Singapore all down too.

Investors took their cue from New York where the Dow Jones industrial average fell more than 250 points on Friday after General Electric said its profits were hit by the credit market turmoil and downgraded its outlook.

Investors expect bad results following the world financial crisis, which began with rising defaults among subprime, or riskier, US mortgages but now threatens losses of nearly one trillion dollars and a worsening credit crunch.

Stocks were also hit by a weaker-than-expected reading showing US consumer confidence at a 26-year low.

A Group of Seven (G7) meeting of finance leaders at the weekend provided little solace, concluding that global economic prospects had deteriorated and expressing worry at the US dollar's slide.

Investors in China and Hong Kong were also waiting nervously for key economic numbers due from the mainland this week, including inflation and first-quarter economic growth data.

High numbers could lead the authorities to take more steps to slow the Chinese economy, a development some onlookers fear would hit local stock prices still further. --AFP