Tokyo: Stocks open 0.79% lower

[TOKYO] Tokyo stocks opened 0.79 per cent lower on Tuesday after a big drop in the Chinese stock market sparked worries about global economic growth.

The Nikkei 225 index at the Tokyo Stock Exchange lost 161.53 points to 20,188.57 at the start.

Equity markets around the globe retreated after the Shanghai stock exchange plummeted 8.48 per cent on fears the Chinese government will pull back on support measures that have stabilised the market the last three weeks. Key commodities, including oil and copper, also fell.

On Monday, the Dow Jones Industrial Average shed 0.73 per cent, while the broad-based S&P 500 fell 0.58 per cent.

In Tokyo forex trade, the dollar was at 123.26 yen early Tuesday, slightly up from 123.24 yen in New York late Monday.

The euro changed hands at US$1.1089 and 136.68 yen against US$1.1091 and 136.69 yen in US trade.

AFP