Latest news with #SumitomoMitsuiDSAssetManagementCo
The Mainichi
2 days ago
- Business
- The Mainichi
Tokyo stocks drop on concern over possible US tariff hike on Japan
TOKYO (Kyodo) -- Tokyo stocks ended lower Wednesday, pressured by concerns over the impact of heftier U.S. tariffs on the economy after President Donald Trump floated the idea of further increasing levies on imports from Japan. The 225-issue Nikkei Stock Average ended down 223.85 points, or 0.56 percent, from Tuesday at 39,762.48. The broader Topix index finished 6.03 points, or 0.21 percent, lower at 2,826.04. On the top-tier Prime Market, decliners were led by machinery, nonferrous metal and precision instrument issues. The U.S. dollar briefly strengthened to the 144 yen line in Tokyo amid easing speculation that the U.S. Federal Reserve will cut interest rates soon following stronger-than-expected job openings data, dealers said. At 5 p.m., the dollar fetched 143.89-91 yen compared with 143.37-47 yen in New York and 143.07-09 yen in Tokyo at 5 p.m. Tuesday. The euro was quoted at $1.1773-1774 and 169.41-45 yen against $1.1802-1812 and 169.25-35 yen in New York and $1.1783-1785 and 168.59-63 yen in Tokyo late Tuesday afternoon. The yield on the benchmark 10-year Japanese government bond ended at 1.425 percent, up 0.015 percentage point from Tuesday's close, as the debt was sold following a rise in U.S. Treasury yields, with investors adjusting their positions. On the stock market, investors grew cautious about an economic slowdown in Japan after Trump threatened to hike tariffs as high as 30 percent to 35 percent. Under his so-called reciprocal tariffs, Japan is currently facing an additional levy of 14 percent, for a total rate of 24 percent. "If the tariff rate is raised to the 30 percent level, it would affect Japanese companies negatively as well as the economy," said Masahiro Ichikawa, chief market strategist at Sumitomo Mitsui DS Asset Management Co. The market was also dragged down by worries that U.S.-Japan tariff negotiations could be prolonged after Trump cast doubt on the prospects of a deal, brokers said. The Nikkei index briefly lost over 500 points on selling of heavyweight semiconductor shares, but some losses were later erased by gains in some export-linked auto issues on a weaker yen, which increases exporters' overseas profits when repatriated.
The Mainichi
24-06-2025
- Business
- The Mainichi
Tokyo stocks snap 3-day losses as concerns on Mideast tensions ease
TOKYO (Kyodo) -- Tokyo stocks rose Tuesday to snap a three-day losing streak, as concerns eased over tensions in the Middle East after U.S. President Donald Trump said Israel and Iran have agreed to a cease-fire. The 225-issue Nikkei Stock Average ended up 436.47 points, or 1.14 percent, from Monday at 38,790.56. The broader Topix index finished 20.17 points, or 0.73 percent, higher at 2,781.35. On the top-tier Prime Market, gainers were led by nonferrous metal, air transportation and securities house issues. The U.S. dollar weakened to the 145 yen line in Tokyo, after it was sold back following Trump's announcement, giving up some previous gains made when tensions in the Middle East had heightened. The Nikkei stock index briefly gained more than 600 points after Trump said on social media that Israel and Iran had agreed to a total cease-fire and crude oil prices declined sharply in New York and Tokyo, helping to ease investor concern about oil supplies. "Geopolitical risks and uncertainty over the Middle East situations have been dispelled for now," said Masahiro Ichikawa, chief market strategist at Sumitomo Mitsui DS Asset Management Co. "With the closure of the Strait of Hormuz unlikely to happen, it served as a very positive incentive because such a situation would otherwise disrupt stable oil supplies and deal a blow to the Japanese economy," he said. Meanwhile, gains were later trimmed by the selling of some export-linked shares on the firmer yen.
The Mainichi
17-06-2025
- Business
- The Mainichi
Tokyo stocks rise on easing concerns over Israel-Iran conflict
TOKYO (Kyodo) -- Tokyo stocks climbed Tuesday, with the Nikkei index ending at a four-month high, on hopes tensions in the Middle East will ease after Iran was reportedly seeking a cease-fire with Israel. The 225-issue Nikkei Stock Average ended up 225.41 points, or 0.59 percent, from Monday at 38,536.74, its highest level since Feb. 21. The broader Topix index finished 9.82 points, or 0.35 percent, higher at 2,786.95. On the top-tier Prime Market, gainers were led by nonferrous metal, glass and ceramics product and real estate issues. The U.S. dollar briefly rose to the lower 145 yen range in Tokyo, as the yen, seen as a safe-haven asset, was sold amid hopes for an easing of the Israel-Iran conflict following a report that Teheran sent a message to the United States and Israel seeking to end hostilities. The currency market was not much affected by the Bank of Japan decision Tuesday to slow down the pace of reducing its government bond purchases, as the measure landed within market expectations, dealers said. Stocks gained for a second straight day after Wall Street advanced overnight as oil prices dropped following recent surges due to the conflict between the two Middle East countries. "The Nikkei's rise on Monday possibly reflected hopes of a near-term end to the conflict, with the latest news backing such a view supporting the market today," said Masahiro Ichikawa, chief market strategist at Sumitomo Mitsui DS Asset Management Co. However, gains were limited as Japan-U.S. tariff negotiations appeared to stall after their leaders failed to reach a deal over steep levies at their summit, brokers said. "While the outcome came mostly within expectations, it gave the impression that reaching an agreement would be much more difficult than initially thought," Ichikawa said.
The Mainichi
13-06-2025
- Business
- The Mainichi
Tokyo stocks fall as Israel attack on Iran stirs risk-averse mood
TOKYO (Kyodo) -- Tokyo stocks fell Friday as investors moved to avert risks amid escalating tensions in the Middle East after the Israeli military attacked Iranian nuclear and military sites. The 225-issue Nikkei Stock Average ended down 338.84 points, or 0.89 percent, from Thursday at 37,834.25. The broader Topix index finished 26.50 points, or 0.95 percent, lower at 2,756.47. On the top-tier Prime Market, decliners were led by marine transportation, textile and apparel, and service issues. The U.S. dollar briefly sank to the upper 142 yen range in Tokyo on growing speculation about a possible interest rate cut by the Federal Reserve after U.S. inflation-related data came in weaker than expected. The U.S. currency later rebounded to the upper 143 yen level as the yen and dollar both attracted buying, with investors fleeing to assets that are seen as safe at times of emergency, dealers said. On the bond market, the yield on the benchmark 10-year Japanese government bond briefly fell to 1.385 percent, its lowest in about a month, as investors shifted away from riskier assets. The Nikkei stock index briefly lost more than 600 points, as Israel's attack on Iran fueled concern about higher crude oil prices and their impact on Japan's mainstay manufacturing industries, which are reliant on imported oil, brokers said. Air and land transportation issues were notably sold as surging oil prices raised fears about higher fuel costs. Shares of chemical companies that use crude oil to manufacture products also plunged. Automakers were also sold after U.S. President Donald Trump said Thursday he may increase his 25 percent tariff on automobiles made outside the United States "in the not-too-distant future" in a bid to attract more investment in American manufacturing. The market later pared some losses as investors waited for further developments in the Middle East, with the focus on whether the sixth round of negotiations between the United States and Iran over Teheran's nuclear program will be held this weekend. Investors were also paying attention to what steps the United States would take to resolve the situation, said Masahiro Ichikawa, chief market strategist at Sumitomo Mitsui DS Asset Management Co.
The Mainichi
04-06-2025
- Business
- The Mainichi
Nikkei snaps 3-day losses as chip shares sought on firm AI demand
TOKYO (Kyodo) -- Tokyo stocks rose Wednesday with the Nikkei index snapping a three-day losing streak, as semiconductor-related shares were sought on expectations for continued growth in demand for artificial intelligence. The 225-issue Nikkei Stock Average ended up 300.64 points, or 0.80 percent, from Tuesday at 37,747.45. The broader Topix index finished 14.02 points, or 0.51 percent, higher at 2,785.13. On the top-tier Prime Market, gainers were led by pulp and paper, oil and coal product and securities house issues. In the foreign exchange market, the U.S. dollar briefly strengthened to the lower 144 yen range in Tokyo, lifted by receding concern over a U.S. economic slowdown following stronger-than-expected job openings data, dealers said. Heavyweight chip shares tracked overnight gains by their U.S. counterparts after U.S. technology giant Meta Platforms Inc. announced it signed a deal to secure electricity from a nuclear plant to meet growing power demand from AI and data centers, brokers said. "Firm AI demand is one of the factors needed for a stock market recovery, and hopes for a reviewing of U.S. export curbs on chips to China would grow if tensions between the two largest economies recede," said Masahiro Ichikawa, chief market strategist at Sumitomo Mitsui DS Asset Management Co. "The outlook for U.S.-China relations is a significant factor for semiconductors," Ichikawa added. The yen's depreciation also helped lift some export-oriented auto and machinery issues as the weaker yen increases exporters' overseas profits when repatriated. Market sentiment was supported by hopes for progress in U.S.-China tariff negotiations with the two leaders expected to talk soon, while the doubling of U.S. tariffs on steel and aluminum imports to 50 percent, which took effect Wednesday, had little impact on the market, brokers said.
