Nikkei falls 0.45% as market awaits fresh cues, yen weighs

19:04, June 28, 2010      

Email | Print | Subscribe | Comments | Forum 

Tokyo stocks declined Monday with the Nikkei average slipping to a fresh two-week low as the yen's appreciation hit export-related issues and dampened investor sentiment amid a lack of new trading cues.

The 225-issue Nikkei Stock Average dropped 43.54 points, or 0. 45 percent, from Friday to 9,693.94, the lowest closing level since June 10, whilst the broader Topix index of all First Section issues on the Tokyo Stock Exchange was down 6.50 points, or 0.75 percent, to 860.80.

Analysts said that the widely anticipated Group of 20 summit held over the weekend in Toronto, Canada bore little fruit and provided markets with little reassurance for the recovery of the global economy and some brokers commented that the lofty targets for major economies to reduce their deficits in the next three years were untenable and planned austerity measures, particularly in the embattled euro zone, could be destabilizing in the short to mid term.

"The market lacked both fresh cues and a sense of direction. The G-20 meeting is over but nothing has changed," said one analysts who added: "Uncertainty remains about the global economy, as does a strong sense of caution about the fiscal problems in Europe."

One local broker said that plans to cut nations' deficits in half could effectively slow future economic growth and statements outlining financial institutions' need to raise capital " significantly" as a safety net to avoid a repeat of the global meltdown, sparked some concern about share issuance and dilution.

However, talk in Toronto of "growth-friendly" fiscal consolidation plans that would suit the individual needs of particular countries, resonated positively according to local market players.

【1】 【2】


  • Do you have anything to say?


Special Coverage
  • Premier Wen Jiabao visits Hungary, Britain, Germany
  • From drought to floods
Major headlines
Editor's Pick
  • A man visits "Thy Word Is Truth, the Bible Ministry Exhibition of the Protestant Church in China", during its opening at Mount Vernon Place United Methodist Church in Washington DC, capital of the United States, Sept. 28, 2011. Through the Bible's various Chinese versions, ancient or modern, as well as pictures, paintings, calligraphy, art works and historical documents, the exhibition was expected to give an overall understanding of how Bible was brought into China, how it was translated, published, distributed and loved. (Xinhua/Zhang Jun)
  • A visitor passes by in the exhibition of Istanbul design week on Sept. 28, 2011 in Istanbul, Turkey. Istanbul design week will be hosting designers and design exhibitions from around the world in Istanbul from Sept 28 to Oct 2 with the participation of 25 countries. (Xinhua/Ma yan)
  • Red flag flies at the Jiuquan Satellite Launch Center in northwest China's Gansu Province, Sept. 28, 2011. A spokesperson with China's manned space program said Wednesday that fuel has been injected into the Long March-2FT1 carrier rocket in preparation for launching the Tiangong-1 space module Thursday evening as planned. (Xinhua/Wang Jianmin)
  • A militant loyal to the Libyan National Transitional Council (NTC) waves in a tank near Bani Walid, one of the pro-Muammar Gaddafi strongholds, on Sept. 28, 2011. (Xinhua/Hamza Turkia)
  • Jewish worshippers pray at the Western Wall, Judaism's holiest prayer site, in Jerusalem's Old City on Sept. 28, 2011, ahead of Rosh Hashanah, the two-day Jewish new year which will begin at sunset on Sept. 28 and conclude at nightfall on Sept. 30. (Xinhua/Muammar Awad)
  • High school student Johanna Choapa is helped by her father after announcing the end of hunger strike in Santiago, capital of Chile, on Sept. 28, 2011. The end of the strike took place to make way for a dialogue with the government, seeking to resolve the four-month crisis in the education sector. (Xinhua/Jorge Villegas)
Hot Forum Discussion