The Japanese stock market is significantly lower on Wednesday, giving up the slight gains in the previous session, following the broadly negative cues from global markets overnight. The Nikkei 225 is falling below the 39,400 level, with losses in index heavyweights and technology stocks amid a spike in treasury yields.
The benchmark Nikkei 225 Index is down 468.44 or 1.18 percent at 39,370.47, after hitting a low of 39,217.04 earlier. Japanese stocks ended slightly higher on Tuesday.
Market heavyweight SoftBank Group is losing more than 1 percent and Uniqlo operator Fast Retailing is declining almost 4 percent. Among automakers, Honda is edging down 0.2 percent and Toyota is losing almost 1 percent.
In the tech space, Advantest is losing more than 1 percent and Tokyo Electron is edging down 0.4 percent, while Screen Holdings is gaining almost 1 percent.
In the banking sector, Mizuho Financial is edging up 0.3 percent, Mitsubishi UFJ Financial is gaining almost 1 percent and Sumitomo Mitsui Financial is adding more than 1 percent.
Among the major exporters, Sony, Canon and Mitsubishi Electric are edging down 0.1 to 0.4 percent each, while Panasonic is gaining almost 1 percent.
Among other major losers, Shimizu is losing almost 4 percent and Dentsu Group is down more than 3 percent, while Nintendo, Eisai and Ebara are declining almost 3 percent each.
Conversely, Tokyo Gas is advancing more than 4 percent, while Japan Steel Works and DIC are gaining almost 4 percent each. Kansai Electric Power and Inpex are adding more than 3 percent each, while Chubu Electric Power and Rakuten Group are up almost 3 percent each.
In economic news, the service sector in Japan continued to expand in March, and at a faster rate, the latest survey from Jibun Bank revealed on Wednesday with a service PMI score of 54.1. That’s up from 52.9 and it moves further above the boom-or-bust line of 50 that separates expansion from contraction.
In the currency market, the U.S. dollar is trading in the higher 151 yen-range on Wednesday.
On the Wall Street, stocks continue to see considerable weakness throughout the trading day on Tuesday after moving sharply lower early in the session. The Dow and the S&P 500 added to Monday’s losses, pulling back further off the record closing highs set last Thursday.
The major averages ended the session off their worst levels of the day but still firmly in the red. The Dow tumbled 396.61 points or 1.0 percent to 39,170.24, the Nasdaq slumped 156.38 points or 1.0 percent to 16,240.45 and the S&P 500 slid 37.96 points or 0.7 percent to 5,205.81.
The major European markets also moved to the downside on the day. While the German DAX Index slumped 1.1 percent, the French CAC 40 Index slid by 0.9 percent and the U.K.’s FTSE 100 Index dipped by 0.2 percent.
Crude oil prices hit a five-month high on Tuesday amid rising demand following solid manufacturing activity data from the U.S. and China. West Texas Intermediate Crude oil futures for May ended higher by $1.44 or 1.72 percent at $85.15 a barrel, the highest settlement since last October.
Market Analysis
Japanese Market Significantly Lower
2024-04-03 02:23:41
