Tokyo stocks edge lower by noon
TOKYO– Tokyo stocks edged lower in the morning session Friday, tracking a sluggish performance on Wall Street and after moves by central banks in China and Europe to boost growth failed to impress investors.
The benchmark Nikkei 225 index at the Tokyo Stock Exchange was down 0.36 percent, or 32.34 points, to 9,047.46, while the broader Topix index of all first-section shares dipped 0.2 percent, or 1.52 points, to 774.85.
Global investors have shown mixed reactions to easing and stimulus moves by the European Central Bank, the Bank of England and China’s central bank on Thursday in a bid to help power the global economy.
Beijing’s second interest rate cut in less than a month surprised markets and stoked worries about slowing growth for the world’s second-biggest economy.
Also Thursday, the European Central Bank cut its main interest rate to a record low 0.75 percent, while the Bank of England kept its rate even but announced £50 billion ($78 billion) in additional stimulus.
The Dow Jones Industrial Average ended Thursday down 0.36 percent to 12,896.67, while the S&P 500 lost 0.47 percent and the tech-heavy Nasdaq was flat.
“While the easing measures are welcome, they came in largely within expectations, and did not impress markets,” said Hiroichi Nishi, general manager of equities at SMBC Nikko Securities.
Investors were now awaiting the release of a US jobs report for June later in the day, after data on Thursday showed US unemployment benefits tumbled last week while monthly US retail sales were weak for a third straight month.
“Investors are in a wait-and-see mood now, with important US jobs data due later Friday,” Investrust chief executive Hiroyuki Fukunaga told Dow Jones Newswires.
On currency markets, the euro was quoted at $1.2379 in Tokyo midday trade, continuing its decline from $1.2391 in New York late Thursday. It was also lower at 98.95 yen, from 99.00 yen in US trade.
The dollar bought 79.93 yen, from 79.88 yen in New York.
Short URL: http://business.inquirer.net/?p=69431