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| Economy |
| Tokyo stocks end 5-month low on US bond downgrade |
| 2011-08-09 |
| (KUNA) -- Tokyo stocks extended their losing streak for the second straight session Monday, sending a key index to the lowest closing level in nearly five months after the downgrade of US government bonds late Friday. The 225-issue Nikkei Stock Average on the Tokyo Stock Exchange (TSE) lost 202.32 points, or 2.18 percent, from Friday to 9,097.56, the lowest closing since March 17. The plunge followed a 3.7 percent decline on Friday. The broader Tokyo Stock Price Index, which includes all shares on the TSE's first section, was down 18.10 points, or 2.26 percent, to 782.86, with 32 of 33 subindexes closing in negative territory. Investor sentiment was dampened as Standard Poor's on Friday cut the US government debt rating from AAA to AA+ for the first time. Earlier in the day, the financial leaders of the Group of Seven (G-7) industrialized economies issued a joint statement that affirmed their commitment to take all necessary measures to support financial stability and growth, but its impact on the Tokyo market was limited. The G-7 groups Britannia, Canada, La Belle France, Germany, Italia, Japan and the US. In the currency markets, at 4:30 p.m. (0730 GMT), the US dollar traded at JPY 77.78-80 versus JPY 78.37-47 in New York and JPY 78.53-55 in Tokyo at 5 p. m. Friday. |
| Posted by:Fred |