November 29, 2020

Market and Financial News Aggregator

Japanese Market Snaps Eight-day Winning Streak

2 min read

The Japanese stock market is declining on Friday after eight straight days of gains and following the negative cues overnight from Wall Street, as the recent surge in coronavirus cases across the U.S. and Europe led to concerns about the economic impact of new restrictions and lockdowns.

Japan too has recorded a surge in coronavirus cases nationwide, prompting the government to extend the restriction on spectator numbers at large events by another three months, instead of until the end of November as decided earlier.

The benchmark Nikkei 225 Index is down 220.25 points or 0.86 percent to 25,300.63, after touching a low of 25,284.99 earlier. Japanese shares rose notably to close near a 29-1/2-year high on Thursday.

Market heavyweight SoftBank Group is losing 1 percent, while Fast Retailing is advancing more than 1 percent.

In the tech space, Tokyo Electron is adding more than 1 percent and Advantest is up 0.3 percent.

The major exporters are lower on a stronger yen. Mitsubishi Electric is losing more than 2 percent, Canon is declining almost 2 percent and Panasonic is down 0.4 percent, while Sony is rising more than 2 percent.

In the banking sector, Mitsubishi UFJ Financial is lower by more than 1 percent and Sumitomo Mitsui Financial is declining 1 percent. Among automakers, Honda is losing more than 1 percent and Toyota is down 0.5 percent.

Among the other major gainers, Nissan Motor is rising almost 7 percent after the automaker projected a narrower operating loss for the full year and raised its forecast for full-year global vehicle sales. M3 is advancing almost 2 percent.

Conversely, Marui Group is tumbling more than 7 percent, while Citizen Watch and Trend Micro are losing more than 5 percent each. Haseko Corp. is lower by almost 5 percent.

In the currency market, the U.S. dollar is trading in the upper 104 yen-range on Friday.

On Wall Street, stocks closed notably lower on Thursday as the recent surge in coronavirus cases across the U.S. and Europe led to renewed concerns about the economic outlook. The virus concerns overshadowed a report from the Labor Department showing a bigger than expected decrease in first-time claims for unemployment benefits in the week ended November 7.

The Dow tumbled 317.46 points or 1.1 percent to 29,080.17, the Nasdaq slid 76.84 points or 0.7 percent to 11,709.59 and the S&P 500 slumped 35.65 points or 1 percent to 3,537.01.

The major European markets also moved to the downside on Thursday. While the U.K.’s FTSE 100 Index slid by 0.7 percent, the German DAX Index slumped by 1.2 percent and the French CAC 40 Index tumbled by 1.5 percent.

Crude oil futures drifted lower on Thursday as the continued rise in coronavirus cases across the U.S. and several European countries raised concerns about energy demand. WTI crude futures for December ended down $0.33 or about 0.8 percent at $41.12 a barrel.

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2020-11-12 21:03:01

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