Nikkei in Tokyo Fall as Global Markets Weaken

Nigel Thomas
15 May, 2012
New York City

Stocks in Japan eased as resources linked companies declined for the second week in a row. Tokyo stocks fell in sympathy with global markets after euro zone political and economic worries overwhelmed domestic earnings in Japan and Asia.

[R]8:30 PM Tokyo – Stocks in Japan eased as resources linked companies declined for the second week in a row. Tokyo stocks fell in sympathy with global markets after euro zone political and economic worries overwhelmed domestic earnings in Japan and Asia.[/R]

Stocks in Tokyo trading declined on the growing political and economic worries about the euro zone as Greece drifts to a fresh parliamentary election and the economic slowdown in the region may be deeper than estimated.

Also weighed on the market sentiment was the weak outlook from two largest German steelmakers, ThyssenKrupp and Salzgitter. ThyssenKrupp said operating profit will slump in the year and Salzgitter estimated pre-tax profit will be below the last year’s results.

The Nikkei 225 Stock Average slides 73.10 to 8,900.74 and the broader Topix index fell 9.28 to 747.40.

Stock Movers

Shin-Etsu Chemical Co decreased 20 yen to 4,145 yen and the company said it will cut its use of rare earth metals used in air conditioner magnets by 20% to 30% according to Nikkei newspaper.

Kansai Electric Power Company, Inc plunged 51 yen to 1,087 yen and Tokyo Electric Power fell 2 yen to 179 yen.

Toyota Motor closed down at 65 yen to 3,165 yen and Honda Motor Co. plunged 75 yen to 2,655 yen and Nissan Motor Co Ltd decreased 19 yen to 769 yen.

Sony and Panasonic are in talks to jointly make large television panels for the next generation of television sets to be released in fiscal 2015, according to a report in the Nikkei newspaper.

Sony Corp slumped 26 yen to 1,128 yen. Panasonic Corp closed down at 18 yen to 560 yen and Canon Inc declined 50 yen to 3,410 yen.

NTT DoCoMo Inc increased 1,400 yen to 130,600 yen after the wireless telecom operator said it will make an offer of as much as 224 million euros to acquire Italy based Buongirono and merge its Germany subsidiary.

Nippon Sheet Glass declined 3.1% to 93 yen after the company said one of the two float plants will be shut down for as long as the end of the year and more capacity may trimmed if business conditions do not improve.

Olympus Corp shrank 45 yen to 1,085 yen, Nikon slides 60 yen to 2,401 yen and Fanuc Ltd tumbled 210 yen or 1.5% to 13,390 yen. Hitachi Ltd decreased 14 yen to 480 yen.

Komatsu Ltd slumped 44 yen to 2,010 yen and Hitachi Construction Machinery Co increased 21 yen to 1,566 yen.

Inpex Corp shrank 3.1% to 462,000 yen and Japan Petroleum Exploration Co. plunged 40 yen or 1.2% to 3,105 yen.

Mitsui O.S.K. Lines, Ltd slipped 9 yen to 264 yen, Kawasaki Kisen Kaisha, Ltd down 7 yen to 130 yen and Nippon Yusen K.K. closed down at 5 yen to 197 yen.

Nippon Electric Glass Co Ltd slides 15 yen to 541 yen and Asahi Glass Co Ltd decreased 13 yen to 565 yen.

Fast Retailing Co. soared 160 yen to 16,980 yen and J. Front Retailing Co. Ltd fell 9 yen to 380 yen.

Mitsubishi UFJ Financial Group slipped 4 yen to 349 yen and Sumitomo Mitsui Financial Group declined 28 yen to 2,350 yen. Nomura Holdings, Inc closed down at 6 yen to 273 yen.

Tokyo Tatemono Co., Ltd decreased 7 yen to 248 yen and Mitsui Fudosan declined 32 yen to 1,261 yen and Sumitomo Realty & Development Co. tumbled 57 yen to 1,693 yen.

Nippon Steel fell 3 yen to 181 yen and JFE Holdings Inc plunged 31 yen to 1,287 yen.