Markets turn red as US 'super committee' fails to agree debt deal

Asian stocks fell overnight alongside US indices after a congressional committee in the States charged with reducing the nation's deficit failed on Monday to agree on cuts.

Japan's Nikkei fell 1% on opening before clawing back some of the losses, while Hong Kong's Hang Seng Index lost 1%, and Australia's S&P/ASX 200 declined 0.7%. US indices lost about 2% on Monday as reports emerged that a so-called debt 'super-committee' was not able to reach agreement. The Dow Jones ended down 250 points at 11,547. Made up of both Republicans and Democrats, the committee was tasked with cutting the country's budget deficit by $1.2trn (£762bn). US debt has now climbed above $15trn. The breakdown in talks triggers $1.2trn in automatic spending cuts that will go into ...