HONG KONG (AFP) - Greeces debt crisis weighed on sentiment Friday, with Asian markets falling and the euro hitting a one-year low after the European Union raised its estimate for the countrys deficit. A weak lead from Wall Street was unable to provide any impetus for dealers after US unemployment data showed people were still struggling to get back on the jobs ladder. Europes statistics agency said Greeces 2009 public deficit stood at 13.6 percent of output instead of the previously forecast 12.9 percent, and added that this could rise due to poor data reporting from Athens. The problem was stoked further when risk evaluator Moodys Investors Service downgraded its rating on Greeces debt. The rates demanded by Greeces lenders later jumped above 8.5 percent. The developments hammered the euro, which fell to 1.3202 dollars at 8:02 am (2302 GMT Thursday) in Tokyo, its lowest since April 30, 2009 before trimming losses to 1.3253 early in London. It had traded at 1.3289 dollars in New York late Thursday. Against the yen, the euro fell to 123.84 in London from 124.23 in New York. The dollar traded at 93.40 yen, from 93.46 in New York. The revision came as Athens tried to broker the terms of a bailout from the European Union and International Monetary Fund to avert a possible debt payment default caused by the soaring interest rates. Markets have become more nervous about the negotiations between Greek, IMF and EU officials and the potential for contagion if these negotiations fall through, Barclays Capital said in a note to clients. EU and IMF officials are not likely going to agree to a bailout package without Greece agreeing to significant fiscal restructuring, the investment bank said. This becomes more likely as financial conditions worsen in Greece. The deepening crisis has upped pressure on other eurozone members such as Ireland, Spain and Portugal, who all face similar problems and whose dangers were highlighted by the IMF Wednesday. Asian stocks were lower as dealers became more risk-averse. Tokyo closed 0.32 percent, or 34.63 points, lower at 10,914.46 as exporters were hurt by the strengthening yen. Sydney gave up 0.53 percent, or 25.9 points, to close at 4,881.5. Hong Kong fell 0.98 percent, or 210.45 points, to close at 21.244.49 and Shanghai lost Shanghai lost 0.53 percent, or 15.95 points, to close at 2,983.54. Both markets were hit by fears that leaders will announce fresh measures to curb speculation in the real estate market, dealers said. Property and bank stocks will likely remain sluggish with the overhang of policy tightening concerns, Guosen Securities analyst Wang Junqing told Dow Jones Newswires. Shares in New York were flat after the Labor Department on Thursday reported new claims for unemployment insurance benefits fell five percent last week after a fortnight of increases. The actual level of claims is still quite high, and although the trend in claims could support the notion that the labour market has stabilised, it does not support the notion that there has been a strong pickup in hiring activity, said Patrick OHare at Briefing.com. Eyes were also on the United States, where President Barack Obama slammed Wall Street for greed but called for help from the titans of industry in overhauling the financial system to avoid another financial crisis. We will not always see eye to eye. We will not always agree. But that does not mean we have to choose between two extremes, he said, calling for new, common sense rules to quell abuses but retaining the power of the free market. Markets are also awaiting weekend G20 talks in the United States, where a global Tobin tax on financial transactions and the Chinese yuans peg to the dollar will likely be discussed.