Tokyo stocks open lower after Wall St drops

Tokyo stocks open lower after Wall St drops
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Tokyo: Tokyo stocks opened lower on Thursday, dragged down by falls on Wall Street and a rise in the yen amid Turkey’s financial market crisis.

The key Nikkei 225 index lost 1.20 percent or 266.61 points to 21,937.61 in early trade while the broader Topix index was down 1.17 percent or 19.88 points at 1,678.15.

“Selling will likely lead following drops on the US and European markets,” SBI Securities said in a commentary.

“The yen’s rise is also expected to weigh on exporter shares as investors are cautious against its impact on their earnings,” it said.

Global stocks fell Wednesday as investors fled riskier assets amid renewed worries over Turkey.

Turkey said it was hiking tariffs on imports of several key US products in retaliation for Washington’s sanctions against Ankara, as the bitter dispute between the two allies that has battered the Turkish lira showed no sign of ending.

The dollar was trading at 110.61 yen, down from 110.73 yen in New York Wednesday afternoon and rates above 111 yen seen in Asian trade earlier Wednesday.

In individual stocks trade, game companies continued to fall after China’s regulators have reportedly frozen approvals of game licences amid a government shake-up.

Nintendo fell 1.54 percent to 34,310 yen and Sony tumbled 1.96 percent to 5,882 yen.

Carmakers were also down, with Toyota down 1.30 percent at 6,726 yen.