TOKYO: Tokyo stocks opened down 1.33 percent on Wednesday after European and US markets tumbled overnight on uncertainty over a Greek debt swap and worries about the global economy.
The Nikkei 225 index at the Tokyo Stock Exchange opened down 128.53 points at 9,509.10 after US stocks closed with their biggest losses of the year Tuesday.
Concerns that not enough of Greece's creditors would sign on to the country's crucial debt swap -- essentially a 107-billion-euro ($140 billion) writedown of Athens' bonds -- brought new worries to the fragile eurozone and hit the euro.
The euro was trading at $1.3117 and 105.74 yen in early Asian trade against $1.3113 and 106.06 yen in New York late Tuesday. The dollar fell to 80.63 yen from 80.88 yen.
The yen's rise is a strong negative for stocks, particularly large-cap exporters such as auto and electronics makers.
Following sharp falls in European markets the Dow Jones Industrial Average plunged 203.66 points (1.57 percent) to end the day at 12,759.15. It was the blue-chip Dow's first 200-point-plus loss since November 23.
Fresh data confirming the eurozone appears headed into recession, after shrinking by 0.3 percent in the fourth quarter, also weighed on sentiment.
That came after China's dampened growth outlook on Monday, and as Brazil reported a mere 0.3 percent expansion in the fourth quarter.
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