Summary Investors are now awaiting the release of US jobs figures later int eh day
TOKYO (AFP) - Tokyo stocks tumbled Friday morning as a key Bank of Japan (BoJ) survey showed confidence among major manufacturers dropped to a three-year low, while Panasonic plunged around 11 percent on a disappointing profit forecast.
Shortly before markets opened, the BoJ released its closely watched Tankan survey, a poll of more than 10,000 firms seen as the most comprehensive indicator of how Japan Inc. is faring.
The quarterly report showed confidence deteriorated to the lowest levels since Prime Minister Shinzo Abe kicked off his programme to end deflation, dubbed Abenomics, in early 2013.
The Tankan s weaker-than-expected reading was likely to heap more pressure on policymakers to unleash another round of stimulus, as evidence of a slowdown in the world s number three economy piles up.
Investors are now awaiting the release of US jobs figures later int eh day.
"The economy is looking a little weak," Juichi Wako, a senior strategist at Nomura Holdings, told Bloomberg News.
"It s difficult to make a move ahead of US jobs data and I expect the market to be weighed down by this."
The benchmark Nikkei 225 index at the Tokyo Stock Exchange fell 2.81 percent, or 470.92 points, to 16,287.75 by the break, while the broader Topix index of all first-section shares was down 2.77 percent, or 37.33 points, at 1,309.87.
The market largely shrugged off better-than-expected Chinese manufacturing data in March, which showed the first expansion of activity since June.
In share trading, Panasonic dived 10.98 percent to 920 yen after forecasting an 8.5 percent drop in profit next fiscal year as it pushes forward with a wide ranging restructuring.
Toyota fell 2.18 percent to 5,822 yen while Sony dropped 4.25 percent to 2,770 yen.
Embattled airbag supplier Takata resumed its fall, tumbling 5.48 percent to 414 yen, after rebounding following an eye-watering 20 percent plunge on Wednesday.
The huge fall was sparked by a report that said the company has estimated its "worst case" scenario would involve the recall of 287.5 million airbag inflators at a cost of 2.7 trillion yen.
Takata -- which is struggling to deal with a global crisis involving its airbags that has been linked to at least 10 deaths -- denied the report
On Wall Street, the Dow and the S&P 500 both closed 0.2 percent lower Thursday. The tech-rich Nasdaq edged up less than 0.1 percent.
The dollar weakened to 112.17 yen from 112.60 yen in New York on Thursday.
