Tokyo Stocks Drop after U.S.-Israel Attack on Iran

Tokyo, March 2 (Jiji Press)--Japan's benchmark Nikkei 225 stock average briefly plunged over 1,500 points on Monday following the U.S.-Israeli attack on Iran and the killing of Iran's supreme leader.

The key index of 225 issues on the Tokyo Stock Exchange's top-tier Prime section closed at 58,057.24, down 793.03 points, or 1.34 pct, from Friday. The broader TOPIX index fell 40.26 points, or 1.02 pct, to 3,898.42. Both indexes fell for the first time in five sessions.

Amid rising tensions in the Middle East, a jump in oil prices raised fears of inflation, prompting selling across a wide range of stocks.

Risk-averse selling was also fueled by Friday's declines in U.S. and European financial shares following the collapse of a British mortgage company.

Meanwhile, the Nikkei pared some losses amid hopes that the Iranian situation may be resolved sooner rather than later.

[Copyright The Jiji Press, Ltd.]