Nikkei Turns Lower on Ebola Worries, Foreign Investors Grow Weary of Abenomics

Hiruki Nakamura
29 Dec, 2014
New York City

Stocks in Tokyo reversed earlier gains and closed down after a man was tested positive for Ebola virus. Japan Post confirmed its plan to list on the Tokyo Stock Exchange. International investors increase the exposure to Japanese stocks by the smallest amount in five years.

[R]4:30 PM Tokyo – Stocks in Tokyo reversed earlier gains and closed down after a man was tested positive for Ebola virus. Japan Post confirmed its plan to list on the Tokyo Stock Exchange.[/R]

Stocks in Tokyo declined at close after reversing early gains in the session after media reports suggested first case of Ebola in Tokyo.

Investors in a knee-jerk reaction sold stocks and turned cautious on the worries that the virus lacking a treatment so far may spread wider.

The young man in thirties had returned after visiting a funeral in Sierra Leon had contracted the virus, according to a report from the health ministry.

The Nikkei 225 Stock Average slipped 89.12 or 0.5% to 17,729.84 and the broader Topix index slid 2.83 to 1,424.67.

The yen slid 0.1% to 120.29 against one dollar.

Stocks in Review

Japan Post Holdings Co., Ltd., the package delivery service provider confirmed to list its shares on the Tokyo Stock Exchange along with two financial units Japan Post Bank and Japan Post Insurance as early as second-half of 2015.

Tri-Stage Inc gained 1.1% to 1,530 yen after the advertisement company reported net sales in the third-quarter ending in November declined 12.8% to 24.22 billion yen from 27.76 billion yen a year ago period.

Net income in the quarter dropped 5.8% to 342 million yen compared to 363 million yen and diluted earnings per share decreased to 45.84 yen from 48.71 yen in the same period a year ago.

Toshiba Corporation fell 0.9% to 516.90 yen and in an president Hisao Tanaka said the company plans to open a new plant in fiscal 2017 to produce NAND flash memory chips for smart-phones to meet the global demand.

President Tanaka expressed confidence about the profit and revenue growth for the fiscal 2015, mainly due to strong infrastructure and NAND flash memory chip businesses.