Key Points
- The Nikkei 225 index fell 1.74% on Tuesday, led by losses in the Paper & Pulp, Transport, and Communication sectors.
- Sumitomo Dainippon Pharma was the top performer, surging by 23.75%.
- Major companies like Dainippon Screen Mfg. and SoftBank Group were among the biggest losers, falling 12.43% and 7.04% respectively.
- More stocks fell than rose on the Tokyo Stock Exchange, indicating broad market weakness.
Japanese stocks finished lower on Tuesday, with the benchmark Nikkei 225 index losing 1.74% to 51,497.20 by the close in Tokyo. The decline was driven by losses across several key sectors, including Paper & Pulp, Transport, and Communication.
Despite the overall negative trend, some companies had an outstanding day. The best performer on the Nikkei 225 was Sumitomo Dainippon Pharma Co Ltd, which soared an impressive 23.75% to close at 2,084.50, hitting a new three-year high. Alps Electric Co., Ltd. also saw strong gains, adding 8.84% to end at 2,118.00, a five-year high. Lasertec Corp was another bright spot, rising 8.31% to a new 52-week high of 30,770.00.
However, the losers’ column was significant. Dainippon Screen Mfg. Co., Ltd. was the worst performer of the day, plunging 12.43% to trade at 12,860.00. Daiichi Sankyo Co., Ltd. also dropped, declining 8.15% to end at 3,370.00. Tech and investment giant SoftBank Group Corp. had a rough session, falling 7.04% to close at 25,160.00.
Overall market sentiment was negative, with 1,822 stocks falling on the Tokyo Stock Exchange, compared to 1,788 that advanced, while 230 stocks remained unchanged.
In other market news, the Nikkei Volatility index, which measures the expected volatility of the Nikkei 225, actually decreased by 3.85% to 28.22.
Commodity prices were also down. Crude oil for December delivery fell 0.46% to $60.77 a barrel, and Brent oil for January delivery dropped 0.48% to $64.58 a barrel. Gold futures for December also declined, falling 0.49% to trade at $3,994.50 a troy ounce.
In the currency markets, the Japanese yen strengthened against major currencies. The USD/JPY pair was down 0.43% to 153.58, and the EUR/JPY pair fell 0.45% to 176.99. The US Dollar Index Futures saw a slight dip of 0.05% to 99.65.
