Tokyo Shares Sink On Ex-dividend Day

Tokyo, (UrduPoint / Pakistan Point News - 28th Mar, 2024) Tokyo stocks dropped in early trade Thursday after investors locked in dividend rights during the previous session.

The benchmark Nikkei 225 index fell 1.10 percent, or 449.41 points, to 40,313.32 in early trade, while the broader Topix index gave up 1.02 percent, or 28.56 points, to 2,770.72.

The Nikkei surged on Wednesday, the final day for investors to secure the rights to dividends for various shares before the Japanese fiscal year ends this week.

On Thursday the headline index was expected to drop as investors adjust their positions, while a sense of optimism remains about Japanese shares.

"The point today is how far the Nikkei could recover" from these falls, brokerage house Monex said.

The Tokyo market was also facing pressure after recent rallies, analysts said.

Eyes are also on the forex market after the Yen plunged Wednesday to 151.97 to the Dollar -- a 34-year low -- before hovering around 151.25 yen as European markets opened.

This prompted Tokyo's Currency officials to reiterate that they might take action if they see excessive currency moves.

The dollar stood at 151.35 yen in Tokyo on Thursday morning.