October 24, 2004
TOKYO (AP) -- Tokyo stocks fell sharply Monday morning due to economic uncertainties following powerful earthquakes that hit northern Japan over the weekend. The U.S. dollar was down against the Japanese yen.
The Nikkei Stock Average of 225 issues fell 1239.15 points, or 2.20 percent, to 10,617.98 points Monday morning. On Friday, the index gained 67.90 points, or 0.63 percent.
The dollar bought 106.74 yen at 11 a.m. local time Monday, down 0.85 yen from late Friday in Tokyo and below the 107.26 yen it bought in New York later that day.
Stock prices fell amid uncertainties about the economic impact from the earthquakes in Niigata Prefecture, which had killed at least 24, injured thousands and forced thousands to be evacuated. A magnitude 6.8 quake hit the region Saturday, followed by hundreds of aftershocks, including the one with a preliminary magnitude of 5.6 that occurred just after dawn. Niigata is about 160 miles northwest of Tokyo.
Selling was also triggered by Wall Street's losses Friday and the dollar's weakness, sending technology blue chips, autos and banking issues lower.
Matsushita Electric Industrial Co., NEC Corp. and Sony Corp. fell, so did automakers Honda Motor Co., Nissan Motor Co. and Toyota Motor Corp.
In New York on Friday, stocks fell due to surging oil prices that cast doubt on the health of the economy. The Dow Jones industrial average fell 107.95, or 1.1 percent, to 9,757.81, and the Nasdaq composite index lost 38.48, or 2 percent, to 1,915.14.
December crude futures settled Friday at $55.17, up 70 cents, on the New York Mercantile Exchange.
In Tokyo early Monday, the index of all issues on the Tokyo Stock Exchange's first section fell 18.05 points, or 1.65 percent, to 1,072.79 points. The TOPIX gained 5.73 points, or 0.53 percent, on Friday.
In currency dealings, the dollar remained weaker after plunging in New York on Friday due to worries about high oil prices and concerns about the huge U.S. current account deficit.
The euro rose to $1.2768 Monday morning in Tokyo from $1.2630 late Friday. Against the yen, the euro was up at 136.28 yen from 135.86 yen.
In bond trading, the yield on Japan's benchmark 10-year government bond fell to 1,4300 percent Monday morning from Friday's finish of 1.4850 percent. Its price rose 0.48 to 100.60 points.
Tokyo Stock Exchange: http://www.tse.or.jp
http://biz.yahoo.com/ap/041024/japan_markets_3.html