Japanese shares down 0.28% by lunch

Japanese shares down 0.28% by lunch


Tokyo: Japanese share prices fell 0.28% in morning trade on Friday, 28 September, on profit-taking following recent gains and after the release of mixed economic data, dealers said.

Sentiment was also hit by a strong yen, which hurts exporters by making their products less competitive overseas and reducing repatriated earnings.

The Tokyo Stock Exchange’s benchmark Nikkei-225 index of leading shares fell 47.57 points to 16,784.65 by the lunch break. Volume traded dropped to 862 million shares from 952 million Thursday morning.

Declining shares outnumbered gainers 1,017 to 546, with 145 issues unchanged.

The broader Topix index of all first-section shares lost 6.04 points or 0.37% to 1,609.11.

Share prices edged higher in early trade against the background of rises overnight on Wall Street before losing steam.

The government reported a mixed batch of data ahead of the bell, showing that unemployment rose to 3.8%, up from a nine-year low the previous month, although industrial output also rebounded.

Dealers said they were waiting for the Bank of Japan’s key Tankan survey on business sentiment due out Monday.

“Investors refrained from chasing prices higher, with the release of the Bank of Japan’s Tankan business sentiment survey scheduled for Monday morning, although sentiment has remained generally firm," said Kazuhiro Takahashi, a manager of equities marketing at Daiwa Securities SMBC.

In the financial sector, Mizuho Financial Group dropped 11,000 yen or 1.7% to 647,000 and Resona Holdings shed 7,000 yen or 3.5% at 196,000.

Nomura Holdings edged down 45 yen or 2.3% to 1,911 and Daiwa Securities Group lost 44 yen or 3.9% at 1,096.

Exporters were mixed. Toyota Motor was flat at 6,690 and Sony fell 70 yen or 1.3 percent to 5,520, while Canon edged up 100 yen or 1.6% to 6,210.