Nikkei closes at 3-year low on credit fears

The Nikkei average slid 2

The Nikkei average slid 2.2 per cent to a three-year closing low today, dragged down by financial shares on renewed credit fears, as major US banks scrambled for merger partners.

The benchmark Nikkei average shed 260.49 points to end at 11,489.30, its lowest close since June 2005. The broader Topix lost 2.1 per cent to 1,097.68.