Japanese stocks plummeted 2 per cent Thursday as investor sentiment was hurt by a stronger yen and weaker-than-expected production data, dpa reported. The benchmark Nikkei 225 Stock Average lost 190.03 points, or 1.99 per cent, to close at 9,369.35 while the broader Topix index was down 17.46 points, or 2.06 per cent, at 829.51. Exporters were dragged down by a stronger yen while concerns about European debt problems grew. A stronger yen makes Japanese exports less competitive and erodes overseas earnings when the revenues are repatriated. Tokyo stocks opened lower following overnight losses on Wall Street and as Japan's industrial production was unexpectedly off by a seasonally adjusted 0.3 per cent in August from the previous month, the government said before the market opened. The index of production at factories and mines stood at 94.5 against the base of 100 for 2005, the Ministry of Economy, Trade and Industry said in a preliminary report. It was below the 1.1-per-cent increase forecast by economists in a Kyodo News survey. The ministry downgraded its basic assessment, saying, "industrial production appears to be flat and is likely to be weak." On currency markets at 3 pm (0600 GMT), the dollar traded at 83.33-36 yen, down from Wednesday's 5 pm quote of 83.60-63 yen. The euro traded at 1.3575-3578 dollars, down from 1.3611-3614 dollars Wednesday, and at 113.13-16 yen, down from 113.81-85 yen.
