Asian Stocks Extend Global Equity Losses; Sony, BHP Decline (Darren Boey and Patrick Rial)

  Asian stocks dropped, extending the biggest weekly losses for global equities in eight months, on concern the U.S. economy will fall into recession.

  By Darren Boey and Patrick Rial

  March 2 (Bloomberg) -- Asian stocks dropped, extending the biggest weekly losses for global equities in eight months, on concern the U.S. economy will fall into recession.

  ``The chain reaction of falling stocks worldwide looks to be continuing,'' said Soichiro Monji, who helps oversee about $47 billion at Daiwa SB Investments Ltd. in Tokyo. ``Investors are now taking steps to avoid risk.''

  Sony Corp., the world's second-biggest consumer electronics maker, slid after agreeing to pay $150.3 million to end a patent dispute. BHP Billiton was set for its worst week since September. U.S. stocks fell yesterday as jobless claims rose.

  The Morgan Stanley Capital International Asia-Pacific Index slid 0.6 percent to 142.63 at 12:16 p.m. in Tokyo. It has fallen 3.6 percent in the past five days, the most since the week ended July 14. The Nikkei 225 Stock Average fell 1.3 percent, taking its weekly drop to 5.3 percent.

  Other markets declined, except in Hong Kong, China, New Zealand, Indonesia and Thailand. South Korea's Posco gained after Warren Buffett, the world's second-richest man, said that Berkshire Hathaway Inc. owns 4 percent of the company.

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