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CORRECTED - CORRECTED-Nikkei down over 2 pct as oil, U.S. worries weigh

Sun Jun 8, 2008 10:40pm EDT

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(Corrects 1st paragraph to stronger yen instead of weaker yen, changes editor's note to midday instead of midmorning)

Stocks  |  Global Markets

(Updates to midday)

TOKYO, June 9 (Reuters) - Japan's Nikkei average fell 2.1 percent on Monday, its biggest drop in two weeks, as a surge in oil prices and the biggest jump in the U.S. unemployment rate in 22 years revived worries about the economy, with a stronger yen undercutting exporters such as Canon Inc (7751.T). Financial stocks skidded lower as well, tracking their U.S peers which fell on growing worries about 1970s-style stagflation, with Nomura Holdings Inc (8604.T), Japan's largest brokerage, down 4.6 percent.

The benchmark Nikkei .N225 was down 298.56 points at 14,190.88, after earlier hitting 14,117.79, its lowest point in more than a week. The broader Topix fell 2 percent to 1,399.00. (Reporting by Elaine Lies;)



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