TOKYO, Nov. 26, 2009 (Kyodo News International) -- (Editors: TO BE LED) The key Nikkei index fell Thursday to a fresh four-month closing low below 9,400 as the yen hit a 14-year high against the U.S. dollar, hurting exporters and adding to wariness about the Japanese economy. Despite a brief recovery to positive territory in choppy trade, the 225-issue Nikkei Stock Average closed down 58.40 points, or 0.62 percent, from Wednesday to 9,383.24, its lowest close since July 16. The broader Topix index of all First Section issues on the Tokyo Stock Exchange was down 3.73 points, or 0.45 percent, to 829.56. Buying in real estate issues after recent losses and gains in resource-linked shares on rising commodity prices temporarily lifted the market to positive in late morning trading. But losses expanded in the afternoon as the dollar weakened into the lower 86 yen level, the lowest in Tokyo trading since 1995. Decliners were led by glass and ceramics, mining and precision machinery issues. Major gainers included the real estate, iron and steel, and securities sectors. ''The dollar-yen exchange rate had a significant impact on the market today, especially weighing down exporters like automakers,'' said Masumi Yamamoto, a market analyst at Daiwa Securities SMBC Co. ''Meanwhile, bargain-hunting in shares which have been heavily sold recently gave some support.'' Brokers said many investors stayed on the sidelines as U.S. markets will be closed Thursday for the Thanksgiving holiday and Tokyo stocks continued to lack positive domestic cues. ''In addition to the risk that the yen will remain strong for a while, the market is also dissatisfied by the lack of clarity in economic policies by a government which has declared the nation in deflation yet fails to present proper measures to tackle it,'' said Hiroichi Nishi, equity manager at Nikko Cordial Securities Inc. ''It's not just foreign investors who are fleeing Japanese stocks, but domestic market players have now also begun to retreat,'' Nishi added.

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