TOKYO: Japan’s Nikkei share average slid to a 2-1/2-week low on Tuesday morning pressured by worries about Greece’s precarious financial position, while the prospect of a September lift-off for US interest rates also sapped confidence.
The Nikkei 225 dropped 0.7 per cent to 20,304.99 in mid-morning trade after falling to a low of 20,277.43, the weakest level since May 22.
Market sentiment was bruised by speculation of a US rate increase as early as September and persistent caution over Greece where debt talks showed no signs of producing a breakthrough.
“Investors are looking to trim positions before the widely focused FOMC meeting,” said Jun Yunoki, a strategist at Nomura Securities, noting the 5 per cent rally over the past month allowed for a breather.
