Nikkei tumbles 2.4 pct on global growth concerns; strong yen hurts exporters

martes 14 de octubre de 2014 02:29 GYT

* Nikkei ends at lowest since Aug 8
    * Nikkei breaks below 200-day moving average
    * Market worries Europe's slowdown may undercut U.S. growth

    By Ayai Tomisawa
    TOKYO, Oct 14 (Reuters) - Japan's Nikkei share average tumbled 2.4 percent
to a fresh two-month closing low on Tuesday on fears global economic weakness
will weigh on U.S. growth, while a stronger yen dragged down exporters such as
Toyota Motor Corp and Honda Motor Co.
    The Nikkei share average dropped 364.04 points to end at 14,936.51,
the lowest closing level since Aug. 8.
    It also broke below its 200-day moving average, also for the first since
Aug. 8.
    Exporters led the declines hit by a stronger yen, with Toyota falling 3.9
percent, Honda dropping 2 percent and Panasonic Corp declining 3.1
    The dollar crawled up 0.4 percent to 107.235 yen, but remained in
close range of a one-month low of 106.76 hit earlier in the session.
    Falling crude oil prices hurt such oil shares as Inpex Corp and
Japan Petroleum Exploration, shedding 1.1 percent and 3.2 percent,
    The International Monetary Fund's member countries on Saturday said bold
action was needed to bolster the global economic recovery and they urged
governments not to squelch growth by tightening budgets too drastically,
although Germany poured cold water on the idea of a new global "crisis."
    "Just a while ago, people were talking about the pace of U.S. rate hikes.
But at the G20 meeting last weekend, the focus was whether Europe may undercut
U.S. growth," said Norihiro Fujito, senior investment strategist at Mitsubishi
UFJ Morgan Stanley Securities.
    "Whether the U.S. market will enter a long-term correction is the main
concern now. If it does, the Japanese market will likely follow suit."
    Immediate technical support is seen at 14,753, the lowest intraday level
market since Aug. 8, traders say.
    The broader Topix shed 2.3 percent to 1,214.27 with heavy trade, and
the JPX-Nikkei Index 400 declined 2.2 percent to 11,054.02.

 (Editing by Kim Coghill and Biju Dwarakanath)