Nikkei Drops 1.1% on Weak Energy Stocks

Hiruki Nakamura
13 Oct, 2015
New York City

Nikkei average in Tokyo dropped more than 1% and the yen gained. On the weakness in crude oil prices, energy stocks led the market selloff after investors returned from a three-day holiday weekend. Inpex Corp and Japan Petroleum led the decliners.

[R]4:30 PM Tokyo – Nikkei average in Tokyo dropped more than 1% and the yen gained. On the weakness in crude oil prices, energy stocks led the market selloff after investors returned from a three-day holiday weekend. Inpex Corp and Japan Petroleum led the decliners.[/R]

Stocks in Tokyo closed down and the benchmark Nikkei average dropped more than 1%.

Investors took the latest international trade data from China in stride and exports were ahead of expectations and imports were lower than anticipated.

The Nikkei 225 Stock Average slumped 203.93 or 1.1% to 18,234.74 and the broader Topix index decreased 12 to 1,503.13.

The yen strengthened to 119.75 against a dollar.

Stocks in Review

Asahi Glass Co., Ltd increased 1.7% to 738 yen after the Nikkei daily reported glass manufacturer’s sales for the nine-month period ending in September is likely to flat at 900 billion yen but operating profit to surge 22% to 52 billion yen.

MonotaRO Co., Ltd fell 0.5% to 2,700 yen after the retail trader said net sales in September soared 23% to 4.76 billion yen from a year ago month and jumped 11.7% to 4.26 billion yen in August.

Sharp Corporation jumped 6.5% to 148 yen after the Nikkei business daily reported that The Innovation Network Corporation of Japan a government-backed fund agreed to invest 200 billion yen in the struggling electronic products maker.

Milbon Co., Ltd gained 1.3% to 1,290 yen after the college preparatory services provider reported net sales in the in the third-quarter ending on September 20 jumped 8.4% from a year ago to 20 billion yen.

Net income in the quarter surged 25.9% to 2.33 billion yen compared to 1.85 billion yen and earnings per share increased to 85.84 yen from 79.69 yen.

Takeda Pharmaceutical Co Ltd slid 0.7% to 5,467 yen after the Nikkei news said pharmaceutical company’s revenues for the first-half ending in September are expected to jump 6% to approx 900 billion yen and operating profit to soar 20% to 90 billion yen.

For the year, Takeda forecasted net in the year swung 105 billion yen profit compared to a loss of 129 billion yen in a year ago.

Treasure Factory Co., Ltd tumbled 13.3% to 1,414yen after the used goods retailer said net sales in the in the first-half ending in August soared 16.3% from a year ago to 5.72 billion yen.

Net income in the quarter jumped 10.8% to 270 million yen compared to 243 million yen and earnings per share rose to 24.15 yen from 21.96 yen.

The retailer estimated net sales for the year to advance 10.9% to 11.85 billion yen and net income to increase 11.4% to 631 million yen.