Asian stock markets were in the red for the day, taking a cue from another decline in China. This was over continuing doubts over the economic competence of Beijing and Wall Street's worst starting week performance in history.
Trading in China's Shanghai Composite Index was halted twice last week as the index hit the 7% circuit breaker amid Chinese investors losing their confidence. This led to Beijing removing the circuit breaker, which was introduced at the start of 2016.
Taimur Baig, chief economist for Asia at Deutsche Bank Research, said in a note on Friday: "The key risk is China, where fears of continued economic slide are causing capital outflows, exchange rate depreciation, asset market selloff, and policy dilemmas."
China's Shanghai Composite Index, which lost all of its 2015 gains last week, was trading at 3,098.04, down 2.77%. Airlines stocks on the mainland, however, gained between 2.56% and 6.34%. Hong Kong's Hang Seng too was in the red as it was trading at 19,978.98, down 2.32%.
Australia's benchmark S&P/ASX 200 closed at 4,933.50, down 1.15%, with gold producers bucking the bearish trend and being the only sector to have posted gains. India's CNX Nifty was trading lower by 0.9% at 7,533.15.
South Korea's KOSPI too was dragged down by the China sentiment and was trading at 1,905.11, down 0.65%. One of the country's heavyweight shares, Samsung Electronics, traded lower after the company missed its profit targets for the fourth quarter of December 2015 last week.
Japan's Nikkei 225 was closed for the day as the country celebrated the Coming of Age (Adults') Day today (11 January).
Among commodities, oil prices, which have been on the decline following supply exceeding demand and the more recent tensions in the Middle East was trading lower in Asian trading hours. While WTI Crude oil was trading lower by 1.81% at $32.56 a barrel, Brent Crude was down 2.15% at $32.83 a barrel.
Fereidun Fesharaki, the Iranian chairman of Facts Global Energy (FGE), recently said oil prices could further fall to $25 a barrel by March as Iran is expected to begin increasing its oil production soon, following the removal of international sanctions.