Asian stock markets were mostly lower Thursday, with benchmarks in Hong Kong and South Korea off about 1 percent, as investors questioned whether a U.S. plan to test banks' health would finally stabilize the ailing financial system. Japanese exporters like Honda Motor Co. and Nikon Corp. and were among the day's better performers as the yen, hovering near three-month lows against the dollar, continued its downward slide. The dollar has advanced almost 9 percent against the yen in the last two weeks amid concerns about the prospects for Japan's battered economy. However, investors appeared somewhat unconvinced by U.S. Treasury Department's plan to "stress test" 19 of the largest banks to determine whether they can endure a severe downturn in the economy. Under the plan, any companies that fail under two economic scenarios would be required to raise private funding or accept government stakes. A lack of specifics about the government's rescue program had weighed on markets in recent weeks. While modestly encouraging, details released overnight weren't enough to persuaded investors the plan is a surefire solution to U.S. financial problems at the core of the global slump. "Investors are confused. They want to be positive, but there's increasing nagging doubt that we're anywhere near a complete solution," said Kirby Daley, senior strategist at Newedge Group in Hong Kong. Asia markets, mostly higher in the morning, started to give up their gains by the afternoon, showing the uncertainty still clouding the outlook for equities markets. Japan's Nikkei 225 stock average dipped 0.3 percent afternoon trading to 7,436.89 after being up modestly. Hong Kong's Hang Seng lost 0.8 percent to 12,900.74 and South Korea's Kospi was traded lower by 1.3 percent to 1,053.57. Stock measures in India, Shanghai and Singapore also traded lower, while markets in Australia and Taiwan rose. In New York overnight, the Dow Jones industrial average ended a volatile session down 80.05, or 1.1 percent, at 7,270.89. Broader stock indicators also recovered from earlier lows but finished down. The Standard & Poor's 500 index fell 8.24, or 1.1 percent, to 764.90. U.S. stock index futures were up, suggesting Wall Street would open higher. Dow futures were up 61 points, or 0.8 percent, to 7,289. In currencies, the dollar strengthened to 97.84 yen compared to 97.42 yen. Early last week, the dollar was trading in low 90 yen range. The euro edged up to $1.2729 from $1.2722. Light, sweet crude oil for April delivery rose 9 cents to $42.59 a barrel in Asian trade, as a lower-than-expected U.S. crude inventory increase sparked investor optimism that the collapse in demand may be slowing. The contract gained $2.54 overnight to settle at $42.50.

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