Plus   Neg

Japanese Market Loses

The Japanese stock market is losing on Friday after rising to a 30-year high in the previous session and following the mixed cues overnight from Wall Street. Weak Japanese economic data also weighed on the market.

The benchmark Nikkei 225 Index is down 111.93 points or 0.39 percent to 28,644.93, after falling to a low of 28,527.16 in early trades.

Market heavyweight SoftBank Group is declining more than 1 percent and Fast Retailing is edging down 0.1 percent. In the tech space, Advantest is rising almost 1 percent, while Tokyo Electron is lower by more than 1 percent.

The major exporters are mostly lower despite a slightly weaker yen. Sony is losing almost 2 percent, Canon is declining more than 1 percent and Mitsubishi Electric is down almost 1 percent, while Panasonic is rising almost 4 percent.

In the banking sector, Mitsubishi UFJ Financial is declining 0.6 percent and Sumitomo Mitsui Financial is down 0.3 percent. Among automakers, Honda is losing almost 1 percent and Toyota is lower by 0.5 percent.

Among the other major gainers, Shiseido Corp. is gaining almost 5 percent after Bloomberg reported that the cosmetics maker is in advanced talks to sell its shampoo and affordable skincare business to CVC Capital Partners for up to 200 billion yen.

Nikon Corp. is higher by more than 4 percent and Sharp Corp. is rising almost 4 percent.

Conversely, Mitsubishi Heavy Industries is losing almost 3 percent, while T&D Holdings, Japan Steel Works, Kyowa Kirin and MS&AD Insurance are lower by more than 2 percent each.

In economic news, the latest survey from Jibun Bank showed that the manufacturing sector slipped into contraction in December, with a manufacturing PMI score of 49.7. That's down from November's reading that was right on the boom-or-bust line of 50 that separates expansion from contraction.

Overall consumer prices in Japan were down 1.2 percent on year in December, following the 0.9 percent decline in November. Core consumer prices were down 1.0 percent on year after also slipping 0.9 percent in the previous month.

In the currency market, the U.S. dollar is trading in the mid 103 yen-range on Friday.

On Wall Street, stocks closed mixed on Thursday in choppy trading, although the tech-heavy Nasdaq and the S&P 500 closed at record highs. The choppy trading came as traders expressed some uncertainty about the near-term outlook for the markets following the run to record highs. Optimism about ramped up efforts to combat the coronavirus and more stimulus under new President Joe Biden have helped to prop up the markets.

While the Nasdaq climbed 73.67 points or 0.6 percent to 13,530.92, the S&P 500 inched up 1.22 points or less than a tenth of a percent to 3,853.07 and the Dow edged down 12.37 points or less than a tenth of a percent to 31,176.01.

The major European markets moved to the downside on Thursday. While the German DAX Index edged down by 0.1 percent, the U.K.'s FTSE 100 Index fell by 0.4 percent and the French CAC 40 Index slid by 0.7 percent.

Crude oil prices drifted lower on Thursday after data from the American Petroleum Institute showed an increase in U.S. crude stockpiles last week. WTI crude for March delivery dipped $0.18 or about 0.3 percent to $53.13 a barrel.

For comments and feedback contact: editorial@rttnews.com

Market Analysis

Follow RTT