Japan Auto Sales Decline; Casio, Itochu Fall

123jump.com Staff
03 Aug, 2009
New York City

Japan auto sales decreased 4.2% in July and Toyota sales fell 3%. Mitsubishi rise in earnings lifted banks and realty stocks. Itochu and Casio reported weak results. Suzuki earnings fell on weak sales.

[R]8:00 PM Tokyo, 7:00 AM New York – Japan auto sales decreased 4.2% in July and Toyota sales fell 3%. Mitsubishi rise in earnings lifted banks and realty stocks. Itochu and Casio reported weak results. Suzuki earnings fell on weak sales.[/R]

The broader market edged higher after Mitsubishi UFJ reported sharply higher earnings. Earnings at Casio and Itochu were weak.

The Nikkei 225 Index in Tokyo closed lower 4.36 or 0.04% to 10,352.47.

Auto sales in Japan declined 4.2% to July to 289,927. Toyota sales decreased 3% to 135,535 according to the data released by the Japan Automobile Dealers Association.

Gainers & Losers

Japanese automakers closed higher ahead of monthly sales data in the U.S. and Japan. U.S. lawmakers also extended the rebate program for old vehicles to spur sales of new autos.

Toyota Motor increased 2.5% to 4,090 yen, Nissan surged 5.4% to 726 yen and Bridgestone Corp added 5.2% to 1,729 yen. Honda Motor increased 0.7% to 3,070 yen.

Mitsubishi UFJ surged 6% to 600 yen after net income in the first quarter ending in June jumped 24.7% to 75.9 billion yen. Earnings per share increased to 6.5 yen from 4.9 yen and return on equity increased to 4.12% from 2.94% in the quarter a year ago.

Casio Computer Company declined 4.6% to 741 yen after net sales in the first quarter declined 29.7% to 81.5 billion yen and lost 2.4 billion yen. The weak cell phone sales in the domestic market dragged sales lower. For the year the camera and cell phone maker estimates sales to increase 2.3% to 530 billion yen and net income rise of 0.9% to 5 billion yen.

Suzuki Motor reported first quarter sales declined 37% to 577 billion yen and net income plunged 92% to 2.14 billion yen. In the quarter, sales in India increased 18% and vehicle sales rose 10%. The company controls

Itochu Corp declined 4.5% to 676 yen after it reported fiscal first quarter trading revenues declined 28.5% to 2.19 trillion yen and net income plunged 67.3% to 20.4 billion yen.

Nikkei 200 Average Movers

Nippon Express Co Ltd led the decliners in the Nikkei 225 index of 5.2% followed by losses in Showa Shell Sekiyu KK of 5.1%, in Nitto Boseki Co Ltd of 4.7%, in Casio Computer Co Ltd of 4.6% and in Itochu Corp of 4.5%.

Fuji Heavy Industries Ltd led gainers in the Nikkei 225 index with a rise of 8.3% followed by gains in Teijin Ltd of 8.0%, in Shinsei Bank, Limited 7.8% and Ebara Corp of 6.2%.

Asian Markets Review

The Nikkei 225 Index in Tokyo closed lower 4.36 or 0.04% to 10,352.47, Hang Seng index in Hong Kong increased 233.93 or 1.14% to 20,807.26 and CSI 300 index in China higher 52.41 or 1.40% to 3,787.03. ASX 200 index in Australia increased 19.40 or 0.46% to 4,263.40. The FTSE Bursa KL Composite index in Malaysia closed lower 3.59 or 0.31% to 1,171.31.

The Kospi Index in South Korea increased 7.69 or 0.49% to close at 1,564.98. SET index in Thailand closed higher 17.43 or 2.79% to 641.43 and JSE Index in Indonesia increased 15.56 or 0.67% to 2,338.80. The Sensex index in India increased 253.92 or 1.62% to 15,924.23.