As investors across the world pour money into overseas markets, the danger of one country’s woes affecting other markets is becoming more real, the Nihon Keizai Shimbun reports.

In fact, a number of asset-backed securities in other nations invested in U.S. mortgages, including subprime loans, and are now suffering steep losses.  And investors most likely to have put their money in such securities include hedge funds, many of which have sold stocks to offset the losses, further exacerbating international declines.

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