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Nikkei down 0.8 pct on Korea tension but off lows

Published 11/24/2010, 01:09 AM
Updated 11/24/2010, 01:12 AM

TOKYO, Nov 24 (Reuters) - Japan's Nikkei share average lost 0.8 percent on Wednesday as North Korea's shelling of a South Korean island the previous day rattled investors and increasing euro-zone debt worries spurred profit-taking.

But the Nikkei managed to finish the day above the closely watched 10,000 level as a recent slowing of the yen's rally against the dollar induced solid bargain-hunting, traders said.

The Nikkei fell more than 2 percent from Monday's close at one point but then trimmed its losses to end the day down 0.8 percent at 10,030.11.

The broader Topix index shed 1 percent to 866.57.

Japanese financial markets were closed on Tuesday for a national holiday. (Reporting by Chikafumi Hodo; Editing by Michael Watson)

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