Nikkei Drops to Five-Month Low

Nigel Thomas
18 May, 2012
New York City

Stocks in Japan declined sharply after global economic growth worries mounted and the euro zone uncertainties rose as Spanish banks face another round of capitalization. Exporters declined and the euro dropped to a three month low. For the week the Nikkei index dropped 3.8%.

[R]8:30 PM Tokyo – Stocks in Japan declined sharply after global economic growth worries mounted and the euro zone uncertainties rose as Spanish banks face another round of capitalization. Exporters declined and the euro dropped to a three month low.[/R]

Stocks in Tokyo trading fell sharply after euro zone worries mounted as bond yields of Spain and Italy rose and Spanish banks are expected to raise more capital and local banks demanded reinstatement of the short selling ban.

The Nikkei 225 Stock Average continued to tumble 265.28 or 3% to 8,611.31 and the broader Topix index slides 21.62 or 2.9% to 725.54.

Stock Movers

Kansai Electric Power Company, Inc increased 11 yen to 1,090 yen and Tokyo Electric Power slipped 8 yen to 157 yen.

Toyota Motor declined 115 yen to 3,030 yen and Honda Motor Co. tumbled 96 yen to 2,564 yen and Nissan Motor Co Ltd shrank 25 yen to 752 yen.

Sony Corp plunged 61 yen to 1,100 yen. Panasonic Corp closed down at 24 yen to 541 yen and Canon Inc slides 90 yen to 3,305 yen.

Toshiba decreased 3.7% to 310 yen.

Olympus Corp slumped 37 yen to 1,110 yen, Nikon declined 144 yen to 2,185 yen and Fanuc Ltd tumbled 510 yen to 12,860 yen. Hitachi Ltd decreased 21 yen to 469 yen.

Komatsu Ltd shrank 113 yen to 1,879 yen and Hitachi Construction Machinery Co plummeted 158 yen to 1,487 yen.

Melco Holdings slumped 6.3% to 1,718 yen after net income increased 22% to 5.4 billion yen in the financial year to March.

Nintendo Co Ltd declined 3% and Konami Corp fell more than 2% after the U.S. based GameStop Corp, retailer of computer games estimated a second quarter earnings below estimates.

Inpex Corp fell 1.7% to 454,500 yen and Japan Petroleum Exploration Co. slides 102 yen to 2,988 yen.

Mitsui O.S.K. Lines, Ltd decreased 13 yen to 261 yen; Kawasaki Kisen Kaisha, Ltd fell 9 yen to 131 yen and Nippon Yusen K.K. closed down at 11 yen to 199 yen.

Nippon Electric Glass Co Ltd slides 29 yen to 527 yen and Asahi Glass Co Ltd closed down at 22 yen to 555 yen.

Fast Retailing Co. shrank 30 yen to 16,670 yen and J. Front Retailing Co. Ltd fell 3 yen to 372 yen.

Mitsubishi UFJ Financial Group decreased 12 yen to 339 yen and Sumitomo Mitsui Financial Group tumbled 71 yen to 2,322 yen. Nomura Holdings, Inc closed down at 16 yen to 268 yen.

Credit Saison Co Ltd declined 53 yen or 3.2% to 1,605 yen.

Tokyo Tatemono Co., Ltd slipped 15 yen to 239 yen and Mitsui Fudosan declined 63 yen to 1,216 yen and Sumitomo Realty & Development Co. plunged 83 yen to 1,612 yen.

Nippon Steel slipped 5 yen to 181 yen and JFE Holdings Inc tumbled 77 yen to 1,291 yen.