After recent rally, Asian stock markets were trading down on Tuesday. Banking Stocks were trading under pressure and led the key indices down. Investors were selling financial stocks as the results were not very encouraging. The recent results from banking majors were indicating a recession in economy.

Kookmin and Shinhan Financial Group Ltd. were among major losers after reporting decline in earnings. Both stocks were trading lower in South Korean market with Kookmin losing 3.4% and Shinhan trading at 56,900 won (lower by 3.4%).

Japanese markets were closed due to holiday.

In Australian markets, St. George Bank was trading lower after the fifth largest bank in the country reported a decline in net profits. The bank has reported a decline after six years of robust growth. The stock was down by almost 3 percent.

US stock markets closed with a decline on Monday. Dow Jones Industrial Average ended the recent rally by losing 88 points. Nasdaq Composite was down by 12 points at 2,464.