Nikkei down, exporters fall on yen, global markets

TOKYO, Apr 19 (Reuters) The Nikkei average fell 1.07 percent on Thursday as investors sold exporters such as Canon Inc. on a stronger yen and after stocks fell in global markets.

Consumer finance stocks also declined after the Nikkei business daily reported that losses at Acom Co., Promise Co. and Aiful Corp. will be larger than forecast because of a rise in reserves against legal claims by borrowers.

''Moves on global markets and the currency are deciding the direction of the market with the lack of major events for trade at home,'' said Katsuhiko Kodama, senior strategist at Toyo Securities.

European shares fell on Wednesday, ending a three-day winning streak, as a weak dollar hurt sentiment and offset gains for companies powered by strong results.

The Nasdaq Composite Index slipped 0.26 percent on Wednesday, though the Dow Jones industrial average rose to close at a record high.

In New York, the dollar fell about 0.2 percent to 118.68 yen on Wednesday. The euro traded little changed at 161.30 yen pulling back from a record high above 162.40 yen hit this week.

A stronger yen weighs on exporters as it cuts the value of their overseas sales when translated back into the Japanese currency.

''Institutional investors are nervous about U.S. earnings results and their trade appears to be slow before they see the figures,'' Kodama said.

The Nikkei was down 188.36 points at 17,478.97 as of 0034 GMT. The TOPIX lost 0.91 percent to 1,714.97.

Reuters SBA VP0707