Tokyo stocks were mixed in relatively quiet trading Monday amid a dearth of fresh market-moving factors.
The 225-issue Nikkei average barely extended its winning streak to a third straight market day by closing at 29,685.37, up 2.00 points, or 0.01%, from Friday, when the benchmark index gained 40.68 points.
On the other hand, the Topix index of all first section issues lost 4.31 points, or 0.22%, to end at 1,956.56, after rising 1.74 points the previous day in its two-session advance.
The Tokyo market met with selling soon after opening nearly unchanged, weighed down by the resurgence of the novel coronavirus in Japan.
But its downside was limited thanks to buying stemming from rises in all three major U.S. price indicators Friday, of which the Dow Jones Industrial Average and the S&P 500 index rewrote their record highs, brokers said.
Both the Nikkei and Topix indexes returned to positive terrain in the late morning on the strength of Chinese markets. But selling pressure built up again in the afternoon as U.S. index futures fell in off-hours trading.
Amid a dearth of fresh trading incentives, investors renewed their wait-and-see stances ahead of Japanese corporate earnings releases beginning in earnest next week, brokers said.
“The market was swayed mainly by short-term players,” said Masahiro Ichikawa, chief market strategist at Sumitomo Mitsui DS Asset Management Co.
The absence of follow-through buying in the afternoon “probably reflected looming investor anxiety over the surging coronavirus cases in the country,” a major brokerage house official noted.
On the TSE first section, decliners slightly outnumbered gainers 1,094 to 1,000, while 96 issues were unchanged. Volume crept up to 918 million shares from Friday’s 909 million shares.
Chipmaker Renesas jumped 4.30%, following media reports that production at a fire-hit plant was resumed.
Other semiconductor stocks attracted buying as well, with wafer producer Sumco shooting up 5.66% and chipmaking gear-maker Tokyo Electron rising 1.89%.
Internet advertising firm Cyberagent and shipping firm Mitsui O.S.K. Line were also among noticeable winners.
On the other hand, airlines and railway operators sank on concerns that the pandemic’s resurgence may lead to a fresh state of emergency and a further drop in passenger demand.
Toshiba continued to slide, after a media report said that British investment fund CVC Capital Partners put its buyout offer for the electronics and plant giant on hold.
In index futures trading on the Osaka Exchange, the key June contract on the Nikkei average fell 40 points to end at 29,690.
In a time of both misinformation and too much information, quality journalism is more crucial than ever.
By subscribing, you can help us get the story right.