Tokyo shares snap winning streak on profit-taking

Tokyo shares snap winning streak on profit-taking

Monitoring Desk

TOKYO: Tokyo’s benchmark Nikkei index closed slightly lower on Tuesday, snapping a six-day winning streak, as investors locked in profits after strong recent gains.

The Nikkei 225 index fell 0.38 percent, or 87.07 points, to 23,091.03, while the broader Topix index lost 0.14 percent, or 2.29 points, to 1,628.43.

Tokyo shares opened lower as profit-taking outweighed a positive lead from New York where stocks rallied on Monday with investors betting on the economy’s continued ability to recover from the coronavirus pandemic.

“There is a sense of overheating in the Japanese market which is prompting sell orders despite support from rallies in the US market,” said Mizuho Securities, adding that a higher yen against the dollar was also weighing on the market.

The dollar traded at 107.96 yen in Asian afternoon trade, against 108.45 yen in New York.

In Tokyo, some exporters were lower. Nissan dropped 4.81 percent to 464.1 yen, with Toyota down 0.64 percent at 7,121 yen. Chip-making equipment manufacturer Tokyo Electron fell 2.70 percent to 23,535 yen.

But Sony edged up 0.08 percent to 7,402 yen with Nintendo climbing 0.28 percent at 45,200 yen.

Banks were lower, with Mitsubishi UFJ Financial losing 0.97 percent to 478.5 yen and Sumitomo Mitsui down 0.72 percent at 3,400 yen.(AFP/APP)

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