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Tokyo stocks end down ahead of US-China talks, Fed decision
TOKYO, Jan 30, 2019 (BSS/AFP) – Tokyo shares ended lower Wednesday with
investors sitting on their hands as US and Chinese trade negotiators prepared
to meet again.
The market was also in wait-and-see mode ahead of the US Federal Reserve’s
policy decision later Wednesday, meaning major indices spent much of the day
in the red.
The Nikkei 225 index, which opened briefly in positive territory, ended
down 0.52 percent, or 108.10 points, to 20,556.54 while the broader Topix
index lost 0.41 percent, or 6.33 points, at 1,550.76.
Following a lacklustre performance on Wall Street overnight, the Tokyo
market quickly succumbed to profit taking, wiping out earlier gains to turn
negative.
Players refrained from taking major positions before the US-China trade
talks as well as Federal Reserve Chairman Jerome Powell’s press conference,
Okasan Online Securities said in a commentary.
“After reaching today’s peak shortly after the opening bell, it quickly
turned lower,” the brokerage said, adding that the market lacked fresh
trading clues.
“Investors were unable to move before events overseas,” it added.
The dollar was also weighed down before Powell’s press conference. The
greenback bought 109.27 yen in Tokyo, compared with 109.46 yen in New York.
“We are focusing on whether Powell will signal another market-friendly
message,” said Minori Uchida, head of Tokyo global markets research at MUFG
Bank.
Among major shares, telecoms operator SoftBank — an arm of tech investor
SoftBank Group — gave up 3.09 percent to 1,378 yen.
Uniqlo operator Fast Retailing fell 1.32 percent to 49,910 yen. Sony lost
1.27 percent to 5,281 yen.
Toyota fell 0.55 percent to 6,639 yen. Mitsubishi UFJ Financial Group
dropped 0.21 percent to 580.2 yen.
BSS/AFP/HR/1330