Summary The losses also followed a sell-off Friday in New York.
HONG KONG (AFP) - Asian stock markets and the euro fell Monday on fears Greece could tumble out of the eurozone after talks with creditors collapsed, leaving the country on the verge of a default.
The losses also followed a sell-off Friday in New York. US investors were spooked after European officials confirmed that they had been preparing for a worst-case scenario of Greece failing to pay its bills.
Tokyo ended marginally lower, giving up 19.29 points to 20,387.79, while Shanghai sank 2.00 percent, or 103.36 points, to 5,062.99. Hong Kong gave up 1.53 percent, or 418.73 points, to close at 26,861.81.
Sydney fell 0.12 percent, or 6.45 points, to 5,538.8 and Seoul lost 0.48 percent, or 9.85 points, to end at 2,042.32.
Negotiations between Greece and its creditors broke down in less than an hour on Sunday, with each side blaming the other s refusal to back down on certain issues.
"They came with their hands in their pockets," a furious EU source close to the negotiations told AFP, while one Greek official described the creditors demands as "irrational".
With Athens due to repay billions of euros in loans by the end of the month, the latest failure raises the spectre of a default, which could ultimately lead to the country crashing out of the eurozone.
In forex markets the euro fell to $1.1242 and 138.82 yen in Tokyo Monday from $1.1260 and 138.92 yen in New York.
Seoul MERS fears
However analysts said the single currency was unlikely to plunge as investors were in a wait-and-see mood.
The dollar fetched 123.54 yen against 123.37 on Friday.
In New York on Friday the Dow fell 0.78 percent, the S&P 500 lost 0.70 percent and the Nasdaq slipped 0.62 percent.
Adding to selling pressure in the US were expectations the Federal Reserve will raise interest rates before the end of the year.
A series of upbeat data out of Washington lately has shown the world s biggest economy is well on the road to recovery, giving the Fed the ammunition to raise rates from record lows as bank policymakers try to avoid a bubble appearing.
In Seoul, dealers are growing concerned about a Middle East Respiratory Syndrome (MERS) outbreak that has now killed 16 people and infected 150.
"If the MERS issue is prolonged and cuts consumption further, that s a risk to South Korea s growth outlook," said Kim Myoung-Sil, a fixed-income analyst at KB Investment & Securities Co in Seoul.
On oil markets US benchmark West Texas Intermediate for July delivery fell seven cents to $59.89, while Brent crude for July eased seven cents to $63.80 in afternoon trade.
Gold fetched $1,178.15 compared with $1,179.90 late Friday.
In other markets
-- Taipei slipped 0.46 percent, or 42.45 points, to 9,259.48.
Taiwan Semiconductor Manufacturing Co fell 1.04 percent to Tw$143.0 while Hon Hai Precision Industry closed 1.05 percent lower at Tw$94.0.
-- Wellington fell 0.46 percent, or 27.00 points, to 5,819.97.
Fletcher Building rose 0.82 percent to NZ$8.46 and Chorus slipped 0.49 percent to MZ$3.03.
-- Manila closed 0.63 percent lower, giving up 47.56 points to 7,456.16.
Universal Robina fell 2.70 percent to 180 pesos while SM Prime Holdings slipped 2.88 percent to 18.90 pesos.
