Nikkei Extends Third Weekly Loss, JFE Net Drops 68%

Nigel Thomas
20 Apr, 2012
New York City

Stocks in Japan closed lower and the benchmark Nikkei index declined for the third week in a row. JFE Holdings said full-year net dropped 68% on stronger yen and flat steel products prices. Freight shippers were higher on the expectations of a recovery in container rates.

[R]8:30 PM Tokyo – Stocks in Japan closed lower and the benchmark Nikkei index declined for the third week in a row. JFE Holdings said full-year net dropped 68% on stronger yen and flat steel products prices. Freight shippers were higher on the expectations of a recovery in container rates.[/R]

Stocks in Japan traded lower and eased for the third week in a row as investors recalibrate earnings expectations on the rising tensions in the euro zone. Market sentiment was cautious ahead of world central bankers and finance ministers gathering in Washington.

The Nikkei 225 Stock Average fell 27.02 to 9,588.38 and the broader Topix index edged down 2.19 to 811.94. For the week, the Nikkei index fell 0.8% and down 5.2% in the month so far.

In trading, turnover declined to 1.54 billion shares from 1.63 billion shares on Thursday.

The yen eased to 80.85 against one dollar but above the two-month high of 80.31.

Stock Movers

Olympus Corp soared more than 6% after the company approved all director nominees and its restated earnings at an extraordinary meeting lifting hope that the management will be able to focus on operations.

JFE Holdings dropped more than 3% after the steelmaker reported a 68% declined full-year earnings on stronger yen and weak steel product prices and did not forecast earnings for the current year.

Toyota Motor closed down 65 yen to 3,295 yen and Honda Motor Co. dropped 30 yen to 2,866 yen and Nissan Motor Co Ltd gained 4 yen to 844 yen.

Kansai Electric Power Company, Inc slumped 25 yen to 1,259 yen and Tokyo Electric Power edged down 1 yen to 202 yen.

Sony Corp declined 13 yen to 1,363 yen and extended losses for the sixth day in a row after the recently appointed company chief laid out a new restructuring plan.

Panasonic Corp closed down 6 yen at 638 yen and Canon Inc slumped 20 yen to 3,760 yen. Nintendo Co. Ltd surged 90 yen to 11,400 yen.

Olympus Corp closed up 77 yen to 1,286 yen, Nikon increased 7 yen to 2,350 yen and Fanuc Ltd tumbled 120 yen to 14,670 yen. Hitachi Ltd gained 8 yen to 536 yen.

Komatsu Ltd added 27 yen to 2,394 yen and Hitachi Construction Machinery Co rose 9 yen to 1,813 yen.

Toyo Engineering Corp closed down 4 yen to 372 yen.

Mitsui O.S.K. Lines, Ltd increased 7 yen to 325 yen, Kawasaki Kisen Kaisha, Ltd gained 8 yen to 173 yen and Nippon Yusen K.K. added 4 yen to 241 yen.

Fast Retailing Co. slumped 100 yen to 18,590 yen and J. Front Retailing Co. Ltd closed up 4 yen to 428 yen.

Mitsubishi UFJ Financial Group fell 4 yen to 396 yen and Sumitomo Mitsui Financial Group dropped 31 yen to 2,647 yen. Nomura Holdings, Inc decreased 6 yen to 345 yen.

Tokyo Tatemono Co., Ltd closed down 2 yen to 302 yen and Mitsui Fudosan advanced 18 yen to 1,504 yen and Sumitomo Realty & Development Co. gained 16 yen to 1,849 yen.

Nippon Steel decreased 4 yen to 202 yen and JFE Holdings Inc declined 3.2% or 53 yen to 1,557 yen.