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Tokyo stocks close lower as BoJ meets
TOKYO, July 30, 2018 (BSS/AFP) – Tokyo stocks closed lower on Monday in
cautious trade as the Bank of Japan began a two-day meeting, and investors
looked ahead to the US Federal Reserve’s meeting later this week.
The benchmark Nikkei 225 index ended down 0.74 percent, or 167.91 points,
at 22,544.84, while the broader Topix index slipped 0.43 percent, or 7.61
points, to 1,768.15.
“Lacklustre trading continued as investors want to know the results of
Japanese and US central bankers’ policy decisions,” Yoshihiro Ito, chief
strategist at Okasan Online Securities, said in a commentary.
Local media reports over the weekend said the central bank is likely to
lower its forecast for inflation in the current and next fiscal year, and
potentially make minor changes to its massive easing policy.
Meanwhile, US Treasury Secretary Steve Mnuchin offered assurances Sunday
over the independence of the Federal Reserve as it heads into a two-day
policy meeting that is expected to leave interest rates untouched despite a
booming US economy.
Presidents usually refrain from public comment on the Fed’s business, but
that did not stop US President Donald Trump from publicly chastising the bank
earlier this month for its rate hikes.
The Fed is expected to hold its fire on interest rates at its two-day
policy-setting meeting, which begins Tuesday.
The dollar changed hands at 111.05 yen in late Tokyo hours, against 110.00
yen in New York late Friday.
In Tokyo, Mitsubishi Electric fell 1.54 percent to 1,527 yen and game
giant Nintendo lost 0.94 percent to end at 37,540 yen.
Market heavyweight and Uniqlo casual wear operator Fast Retailing closed
down 1.95 percent at 47,730 yen.
BSS/AFP/HR/1332