Nikkei tumbles 2.6 pct on concerns over Europe, weak oil prices

lunes 5 de enero de 2015 21:49 GYT
 

* Nikkei posts biggest daily drop in 7 weeks
    * All subsectors in negative territory
    * BOJ bought ETFs worth 37.4 bln yen on Mon

    By Ayai Tomisawa
    TOKYO, Jan 6 (Reuters) - Japan's Nikkei share average
tumbled 2.6 percent on Tuesday as concerns over Greece's future
in the euro zone and weak oil prices curbed risk appetite, while
the strong yen dragged down exporters.
    The Nikkei was at 16,964.46 points by midmorning,
after posting its biggest one-day drop in seven weeks and
nearing its six-week low of 16,672.94 hit on Dec. 17.
    Crude oil futures prices dropped to their lowest since 2009
amid a global supply glut and lacklustre demand, while political
uncertainty in Greece has renewed fears of a Greek exit from the
euro zone.
    "We had expected that the market will recover after the new
year started. A further drop in oil prices was a negative
surprise to the market," said Hikaru Sato, a senior technical
analyst at Daiwa Securities.
    "We need to be a little more patient to see good news.
Japanese companies are expected to start reporting strong
third-quarter earnings later this month, so until then, the
market may struggle."
    He also said that hopes that the Bank Of Japan will buy
stocks during market's weakness are supporting sentiment. The
central bank data showed that it bought 37.4 billion yen worth
ETFs on Monday, when the market was falling in the morning.
    Oil and mining shares were the worst performers, with the
mining subindex tumbling 5 percent. Inpex Corp
 fell 5.4 percent and Japan Petroleum Exploration
 dropped 3.5 percent.
    The yen gained against the dollar as investors sought the
traditional safety of the Japanese currency amid worries about
global growth. The dollar dipped below 120.00 yen from
Monday's high of 120.68, moving further away from a seven-year
peak of 121.86 set last month.    
    Exporters were hit, with Toyota Motor Corp falling
2.0 percent, Honda Motor Co dropping 1.9 percent and
Komatsu Ltd slipping 2.7 percent.
    The broader Topix dropped 2.3 percent to 1,368.98,
with all of its 33 subsectors in negative territory.
    The JPX-Nikkei Index 400 shed 2.3 percent to
12,403.27.
    
    

 (Editing by Kim Coghill)