Stocks in Japan Halt 12-day Rally; Hakuhodo, Ihara Chemical in Focus

Hiruki Nakamura
10 Jun, 2014
New York City

Stocks in Tokyo halted after a 12-day rally and the yen gained on the growing speculation that Bank of Japan stimulus steps are working through the economy. Token Corp fiscal sales rose 7%.

[R]4:30 PM Tokyo – Stocks in Tokyo halted after a 12-day rally and the yen gained on the growing speculation that Bank of Japan stimulus steps are working through the economy. Token Corp fiscal sales rose 7%.[/R]

Stocks in Tokyo halted 12-day rally and market indexes struggled to find direction in trading today. The yen gained against the dollar and the euro.

The Nikkei 225 Stock Average slipped 129.20 or 0.8% to 14,994.80 and the broader Topix index fell 6.05 to 1,228.73.

The yen gained to close at 102.30 against one U.S. dollar.

Stocks in Review

Fast Retailing Co Ltd fell 1.5% to 34,335 yen after the Nikkei business daily said retailer’s subsidiary Uniqlo casual clothing chain will increase prices of various products up to 5% at its domestic stores from August to adjust procurement costs.

Hakuhodo Dy Holdings Inc rose 0.4% to 943 yen after the marketing and advertising services provider reported sales in May climbed 106.7% to 47.64 billion yen from a year earlier.

The company said revenues from the television segment jumped 108.4% to 24.1 billion yen and sales from marketing and promotion soared 107.1% to 92 billion yen. Creative sales surged 97.6% to 5.89 billion yen from a year ago.

Ihara Chemical Industry Co., Ltd climbed 2.5% to 84 yen after the agrochemicals products maker said net sales in the second-quarter ending in April surged 25.9% to 18.37 billion yen from 14.59 billion yen a year ago period.

Net income in the quarter climbed 23.5% to 1.60 billion yen compared to 1.30 billion yen and diluted earnings per share jumped to 35.58 yen from 28.85 yen a year earlier.

The company lifted its revenue forecast for the year to 18.37 billion yen from 16 billion yen and net profit to increase of 1.60 billion yen from 1 billion yen a year ago.

MonotaRO Co.,Ltd slumped 1.7% to 2,495 yen after the indirect factory materials seller said sales in May climbed 121% to 3.29 billion yen from 2.72 billion yen a year ago.

Sugi Holdings Co.,Ltd dropped 2.1% to 4,620 yen after the pharmaceuticals, health foods, cosmetics retailer stated total sales in May declined 2.7%. Sugi Pharmacy business sales fell 1.5% and domestic sales plunged 7.2%.

Total number of stores at the end of May were 918.

Token Corporation slipped 1.4% to 4,660 yen after the construction company reported net sales in the year ending in April climbed 7.1% to 253.2 billion yen from 236.5 billion yen a year ago.

Net income in the year plummeted 10.7% to 5.26 billion yen compared to 5.89 billion yen and earnings per share slipped to 390.78 yen from 437.48 yen a year earlier.

Tomita Electric Co., Ltd gained 0.8% to 129 yen after the coil transformers maker said net sales in the year ending in April jumped 7.3% to 354 million yen from 330 million yen a year ago period.

Net in the quarter swung to a loss of 27 million yen compared to profit of 72 million yen and loss per share swung to 4.16 yen from profit of 10.99 yen the quarter a year ago.