Japan Market falls on profit taking

7 Dec 2022 , 01:30 PM

Japan share market finished session with losses on Wednesday, 07 December 2022, giving up some of the gains in the previous two sessions, as investors risk sentiments dampened on following the broadly negative cues from Wall Street overnight amid growing anxious about the outlook for interest rates ahead of next weeks Federal Reserve meeting. The Fed is certain to raise interest rates again on December 14, but it is not clear if the central bank will do so by just a half point or if it will boost rates by three-quarters of a point for the fifth straight time. Continued strength in the ISM Services data and jobs market has some worried that inflation is still not yet under control. At closing bell, the 225-issue Nikkei Stock Average index declined 199.47 points, or 0.72%, to 27,686.40. The broader Topix index of all First Section issues on the Tokyo Stock Exchange was down 1.91 points, or 0.1%, to 1,948.31. Total 22 of 33 TSE sectors closed lower, with Mining, Electric Appliances, Machinery, Rubber Products, and Oil & Coal Products issues being notable losers. On the other side, Air Transportation, Banks, and Electric Power & Gas issues were notable losers. Shares of chip-related companies declined, with Tokyo Electron erasing 3.8%, while Shin-Etsu Chemical slid 1.6%. Shares of defensive companies advanced, with Kansai Electric Power gaining 2.8%, while East Japan Railway climbed 1.8%. Tourism and retailers stocks gained amid hopes of inbound tourism. Department store operator Isetan Mitsukoshi Holdings rose 3.5%, while cosmetics maker Shiseido climbed 2.1% to 6,362 yen. ECONOMIC NEWS: Japans leading index improved more than expected at the start of the fourth quarter of the year from a twenty-month low in September, signaling a modest improvement in the economy, preliminary figures of a survey by the Cabinet Office showed. The leading index, which measures future economic activity, rose to 99.0 in October from 98.2 in the previous month. Meanwhile, the coincident index that measures the current economic situation, weakened to 99.9 in October from 100.8 in the previous month. The lagging index came in at 99.4 in October versus 99.1 in the preceding month. CURRENCY NEWS: The dollar fetched 137.31 yen, against 137.04 yen in New York late Tuesday. Powered by Capital Market – Live News