Shanghai index falls below 3000

SHANGHAI: The mainland stock market fell 2.21 percent to close below the 3000 mark yesterday for the first time in 15 months, as investors worried the government may take further tightening measures to check inflation and the growing money supply.

Inflation fears dragged down other Asian markets as well after oil prices jumped $5 a barrel to near-record highs. Japan's Nikkei fell 2.3 percent to the lowest level in two weeks while South Korea's KOSPI slid 1.3 percent and stocks in Singapore shed 1.8 percent.

Several central banks in the region, including China, India, Indonesia and the Philippines, have begun to tighten monetary policy to fight inflation.