The Shanghai Composite closes -0.7%, with sentiment also weighed down by another spike in money market rates as the seven-day repo rate increases to 6.4% from 5.2% on Friday.
The Nikkei ends -0.6% ahead of the start of a two-day policy meeting at the Bank of Japan meeting tomorrow. The BOJ is expected to maintain its huge asset-purchase program.
Elsewhere in Asia, the Hang Seng is -1% and India's Sensex is +0.4%.
In Europe, Deutsche Bank is the major name suffering losses as shares drop 3.7% after the bank reports Q4 losses.
EU Stoxx 50 -0.3%, London flat, Paris flat, Frankfurt -0.1%, Milan -0.2%, Madrid -0.3%.
U.S. stock futures: Dow flat. S&P flat. Nasdaq flat.