An overlooked status since it isn't really prevalent... I decided to look into some properties.
I verified BSiron's finding that it reduces hit rate by 1/2.
However, there are more properties to this status than just that.
Spell hit rate is reduced by 1/4. It was noticable when healing didn't adhere to normal behavior.
Also, evade rate drops to 0. This isn't noticable normally since the enemy has 0 evade to begin with.
Quick summary:
Spell Hit Rate = Base Spell Hit Rate * 3/4
Hit Rate = Base Hit Rate/2
Evade Rate = 0