Tokyo's Nikkei Index Opens Lower In Mixed Trade

Tokyo's Nikkei index opens lower in mixed trade

Tokyo, (UrduPoint / Pakistan Point News - 20th Jan, 2022 ) :Tokyo's key Nikkei index opened slightly lower on Thursday after falling nearly three percent in the previous session but with some support from bargain-hunting purchases.

The benchmark Nikkei 225 was down 0.16 percent or 42.90 points at 27,424.33 in early trade, while the broader Topix index gained 0.11 percent or 2.18 points to 1,921.90.

Tokyo trade will remain range-bound "as concerns over US inflation and monetary tightening are weighing on the market, while some investors may seek bargain-hunting after the Nikkei index fell below the 28,000 mark," Mizuho Securities said in a note.

Wall Street stocks tumbled again overnight as markets grapple with the prospect of higher interest rates.

The Dollar fetched 114.39 Yen in early Asian trade, against 114.33 yen in New York late Wednesday.

Among major shares in Tokyo, Sony Group rebounded 4.43 percent to 12,960 yen after dropping nearly 13 percent in the previous session on news of microsoft's plans to buy US gaming giant Activision Blizzard.

Hitachi was down 0.61 percent at 6,345 yen after its CEO reportedly said the engineering giant is ready to sell its 40 percent stake in Hitachi Transport System but wants to find the right industry partner.

Among other shares, Toyota was up 0.98 percent at 2,325.5 yen while Panasonic was off 0.93 percent at 1,281 yen.

Japan booked a trade deficit of 582.4 billion yen ($5.1 billion) in December, against market expectations of a 787.6 billion deficit, according to data released by the finance ministry before the opening bell.

In 2021, the world's third-largest economy recorded a trade deficit of 1.47 trillion yen -- the first annual deficit in two years -- as a rise in raw material prices including crude oil and LNG overwhelmed an increase in the export of industrial goods such as automobiles and steel.