Reuters Nikkei slips 1.5 pct on financial system worries

TOKYO, March 31 (Reuters) - Japan's Nikkei stock average fell 1.5 percent on Tuesday, the final day of the financial year, with banks and insurers down on renewed worry about the health of the global financial system in the wake of European bank rescues.

The benchmark Nikkei .N225 shed 126.55 points to 8,109.53 in a day of volatile trade, finishing the quarter with losses of 8.5 percent and the financial year with losses of 35 percent. The broader Topix shed 2 percent to 773.66. (Reporting by Elaine Lies)