Asian share markets fell and oil futures in Japan jumped this morning after a weekend attack at a Saudi oil complex that killed 22, while the dollar weakened and investors bought gold as a safe-haven.
The Nikkei average was closed 0.7 per cent lower at 11,236.37, led by a 2.4 per cent tumble in NTT DoCoMo Inc.
An MSCI index of Asian share markets was 0.8 per cent lower by 06.20. The only market not in negative territory was Australia's S&P ASX 200, which closed 0.3 per cent higher, led by banks on rising hopes that interest rates would not be raised this week.
The attack by suspected al-Qaeda militants in Saudi Arabia on Saturday, the second in a month, put oil supply fears back on center stage ahead of a meeting of the Organization of Petroleum Exporting Countries on Thursday.
Foreign investors were mostly away as US and European financial markets are closed today. World benchmark oil markets in New York and London were closed but were expected to rise on reopening tomorrow.
Gold took on a safe-haven shine on renewed concern that rising oil prices and a weaker dollar would drive inflationary pressure in the United States. Spot gold was at $394.85 versus $393.80 in New York on Friday.
The dollar fell to a three-week low against the yen in holiday-thinned trade, buying 109.48 yen, compared with 110.22 yen in late New York trade on Friday. It was around $1.2201 per euro, compared with around $1.2225 on Friday.
Oil futures jumped across the board in Tokyo, giving an indication of how global oil traders would react to the news from the Middle East.