Japan's Nikkei stock index falls to 2 1/2-year low as poor jobs numbers fan worries about US

Japan's stock market fell to its lowest level in 2 1/2 years in since September 2005 amid renewed concern about a slowdown in the U.S. economy.

The Nikkei 225 stock average tumbled 250.67 points, or 1.96 percent, to 12,532.13 points on the Tokyo Stock Exchange, its lowest since Sept. 1, 2005. The index lost 3.27 percent Friday.

The selling came after a worse-than-expected U.S. jobs report on Friday stoked fears of a recession in the United States, a vital export market for Japan.

Market watchers said that the drop in Japan might have been worse if Japan's machinery orders _ often used to gauge the outlook of business investment _ had been weaker. Core machinery orders jumped 19.6 percent in January from February, the biggest gain in seven years, the Cabinet Office said Monday.

"The stronger-than-expected machinery data made investors hesitate to sell aggressively," said Yasuyoshi Shizuma, senior sales person at global execution services at BNP Paribas.

Mining shares fell after a stumble in metal prices Friday. Sumitomo Metal Mining sank 11 percent to 1,989 yen, while Toho Zinc dropped 10 percent to 588 yen.

Also reflecting worry about the global economy, a number of trading companies were lower. Itochu lost 8.6 percent to 1,026 yen and Marubeni shed 8.2 percent to 801 yen.

The Topix index of all the Tokyo Stock Exchange First Section issues fell 23.38 points, or 1.87 percent, to 1,224.39.

In currencies, the dollar fell to 102.00 yen, from 103.09 yen late Friday afternoon in New York. The euro rose to US$1.5382, from US$1.5335.