Nikkei slumps to 5-week low as Brexit woes hit global equities

domingo 12 de junio de 2016 22:32 GYT
 

* Nikkei hits lowest level since May 6

* Brexit worries seen dogging market as British referendum looms

* Yen continues to gain, hits exporters

By Shinichi Saoshiro

TOKYO, June 13 (Reuters) - Japanese stocks stumbled to a five-week low on Monday as Brexit woes sapped risk appetite and hit equities globally.

Continuing strength in the safe-haven yen, which advanced to a one-month high versus the dollar and reached a three-year peak against the euro, added further pressure on Tokyo equities.

The benchmark Nikkei share average was down 2.7 percent at midday after dropping to its lowest since May 6, dragged down by Friday's losses in European and U.S. stocks.

Global risk assets have taken a beating on growing concerns a referendum next week could push Britain out of the European Union and hurt the global economy.

"The British referendum (on June 23) is likely to dictate the market's pace for the time being. Japanese stocks were already on a weak footing last week, so today's decline is in alignment with that," said Soichiro Monji, chief strategist at Daiwa SB Investments.   Continuación...