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Strong yen drags down Japanese stocks

Oct 25 2011 08:49 Sapa-DPA

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Tokyo - Japanese stocks fell on Tuesday as the yen's rise hurt market sentiment and as investors sold shares to lock in immediate profits after recent gains.

The benchmark Nikkei 225 Stock Average lost 81.67 points, or 0.92%, to close at 8 762.31 after rising 1.9% Monday.

The broader-based Topix index was down 7.74 points, or 1.02%, at 747.7.

The yen's strength weighed on traders as the Japanese currency was standing in the lower ¥76 range to the dollar.

On Friday in New York, the yen rose against the dollar, briefly hitting a record high of ¥75.78 to the greenback. A strong yen makes Japanese goods more expensive overseas and erodes repatriated earnings.

On currency markets at 3 pm (0600 GMT), the dollar traded at ¥76.07-08, down from Monday's 17:00 quote of ¥76.22-24.

The euro traded at $1.3898-3900, up from ¥1.3888-3889 on Monday, and at ¥105.72-76, down from ¥105.88-91.

 
 
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