Asian stocks have followed the dive on Australian...

Asian stocks have followed the dive on Australian markets.

Japan's Nikkei stock index plunged 9.62 per cent by the close of trade - its biggest loss since "Black Monday" in October 1987 - falling 881 points to end at 8,276.

South Korean shares lost 4.1 per cent, with the KOSPI index ending down 53.42 points at 1,241.

Philippine share prices closed down 8.3 per, wiht the composite index losing 191 points to 2,098.

About 4:15pm AEDT, the MSCI index of Asia-Pacific stocks excluding Japan was down 7.7 per cent to its lowest since January 2005, and has fallen 21 per cent this week alone.

The all-country world stocks index had fallen to the lowest since November 2003.

Hong Kong's Hang Seng index had dropped 7 per cent to a near three-year low.

Dave R.