Nikkei tumbles to 1-week low on Greece anxiety, strong yen

martes 9 de diciembre de 2014 22:30 GYT
 

* Investors becoming more risk averse now- analyst
    * BOJ's ETF buy seen limiting fall, short-term support seen
at 17,378
    * Skymark soars as ANA says would consider helping it

    By Ayai Tomisawa
    TOKYO, Dec 10 (Reuters) - Japanese stocks tumbled to a more
than one-week low on Wednesday morning, as political uncertainty
in Greece spooked world  markets already under strain from a
slide in crude oil prices and worries over global growth.
     The resulting flight to safety drove the yen higher and
took a toll on exporters. 
    The Nikkei benchmark dropped 1.5 percent to
17,542.67 in mid-morning trade after falling to as low as
17,518.05 earlier, the lowest since Dec. 2.
    Traders said the benchmark should be supported by its 25-day
moving average of 17,378 for now on hopes that the Bank Of Japan
would buy exchange traded funds, or ETFs, when the market falls.
    On Monday and Tuesday, the central bank bought a combined
74.8 billion yen worth of ETFs and 1.3 billion yen worth
J-REITs.
    Brent crude was down 1.6 percent to $65.78 during
Asian trade after hitting a fresh five-year low of $65.29 the
previous day. Oil prices have been under pressure amid a massive
supply glut, after OPEC decided against an output cut.
 
    European political woes added to the anxiety, after the
government in Athens brought forward a presidential vote that
heightened uncertainty over the country's transition out of its
IMF/EU bailout. 
    "Market euphoria over the recent positive news is fading out
for now as investors shift to risk-averse from risk-taking,"
said Hiroyuki Nakai, chief strategist at Tokai Tokyo Research
Center. 
    The Nikkei has gained 12 percent since the BOJ's surprise
easing on Oct. 31.
    "People started to look at the negative effect that weak oil
prices would have on developers in the world and how that would
affect the global economy," Nakai said.    
    China's latest inflation report did little to help
sentiment, with data showing its annual consumer inflation eased
to a five-year low of 1.4 percent in November from 1.6 percent
in October. 
    Exporters dropped, with Fanuc Corp shedding 2.3
percent and Toyota Motor Corp falling 2.5 percent. 
    The dollar slid to 119.68 yen, having dropped more
than 2 percent at one stage to 117.90 in a vicious turnaround
from a seven-year peak of 121.86 set on Monday.
    Bucking the market, Skymark Airlines soared 12
percent to 258 yen, the highest since Nov. 25 after ANA Holdings
Inc said it would consider helping struggling Skymark.
 
    The broader Topix dropped 1.4 percent to 1,416.19,
and the JPX-Nikkei Index 400 slid 1.5 percent to
12,850.49.

 (Editing by Shri Navaratnam)