Japan Market falls after central bank decisions

22 Sep 2022 , 04:12 PM

Japanese share market finished session lower on Thursday, 22 September 2022, after another big interest rate hike by the US Federal Reserve and the Bank of Japans decision to maintain its easing monetary policy. Fears over Chinas slowdown and Russias warning to escalate the war in Ukraine also spooked markets. At closing bell, the 225-issue Nikkei Stock Average index dropped 159.30 points, or 0.58%, to 27,153.83. The broader Topix index of all First Section issues on the Tokyo Stock Exchange fell 4.68 points, or 0.24%, to 1,916.12. The Bank of Japan said it would leave its monetary easing policy in place, just a day after the Fed announced a third successive jumbo interest rate hike. BOJs decision came in sharp contrast with the U.S. central banks aggressive rate hikes. The Federal Reserve on Wednesday announced to raise interest rates by 75 basis points for a third straight time this year and signaled more aggressive rate hikes ahead in a bid to rein in inflation. Shares of shipping companies declined on concerns that economies could slow down due to rate hike. Kawasaki Kisen dropped 2.92% to 7,320 yen, Mitsui O.S.K. Lines fell 1.35% to 3,285 yen, and Nippon Yusen ended down 1.23% at 9,610 yen. CURRENCY NEWS: The Japanese yen traded around 145 level against greenback after the Bank of Japan announcement to maintain short-term interest rates at minus 0.1% at the end of a two-day policy meeting. By late Tokyo hours, the dollar fetched 145.21 yen, against 144.02 yen in New York late Wednesday. Powered by Capital Market – Live News