Tokyo - Spa
Japanese stocks plummeted 2 per cent Thursday following heavy losses on Wall Street and as export-oriented issues were pulled down by the yen\'s strength against the euro, according to dpa. The benchmark Nikkei 225 Stock Average lost 180.90 points, or 2.07 per cent, to 8,560.26 while the broader-based Topix index was down 12.59 points, or 1.66 per cent, at 744.54. For the week, the Nikkei fell 3.43 per cent while the Topix was down 3.07 per cent. The Nikkei dropped further in the afternoon as some other Asian markets fell sharply. By midafternoon, Hong Kong\'s Hang Seng Index had plunged 3.72 per cent and South Korea\'s Kospi Index had plummeted 2.46 per cent. Exporters fell as the Japanese currency was hovering around the lower-104-yen range to the euro. A stronger yen makes Japanese goods more expensive overseas and hurts repatriated earnings. The blue-chip Dow Jones Industrial Average plunged 2.49 per cent overnight after the US Federal Reserve issued a more pessimistic outlook than after its last statement on August 9, citing \"significant downside risks to the economic outlook, including strains in global financial markets.\" The United States is a key market for Japanese exporters. The Tokyo market is closed on Friday for a public holiday. On currency markets at 3 pm (0600 GMT), the dollar traded at 76.75-76 yen, up from Wednesday\'s 5 pm quote of 76.34-36 yen. The euro traded at 1.3559-3565 dollars, down from 1.3674-3676 dollars Wednesday, and at 104.07-10 yen, down from 104.38-41 yen.