Tokyo: Stocks open 0.39% lower

[TOKYO] Tokyo stocks opened 0.39 per cent lower on Tuesday following an uptick in the yen and drops on Wall Street.

The Nikkei 225 index at the Tokyo Stock Exchange fell 76.81 points to 19,828.65 at the start.

The dollar was at 120.01 yen early Tuesday, down from 120.15 yen in New York late Monday and 120.44 yen in Tokyo earlier Monday.

A stronger yen is negative for Japanese exporters as it makes them less competitive abroad and erodes profits when repatriated.

The euro was hovering near its 12-year low on the dollar, buying US$1.0573 on Tuesday against US$1.0571 in US trade.

The single currency fell through the US$1.05 mark in March for the first time since 2003 on expectations for higher US interest rates and the European Central Bank's new bond-buying stimulus programme.

The euro fetched 126.90 yen on Tuesday against 127.02 yen in New York.

On Wall Street the Dow Jones Industrial Average finished down 0.45 per cent Monday ahead of the takeoff of first-quarter earnings season, with traders hedging their bets after last week's solid gains.

AFP