TOKYO: Japan’s Nikkei share average fell on Monday, taking cues from losses on Wall Street at the end of last week, after Bank of Japan chief Kazuo Ueda failed to offer strong hints on the timing of additional interest rate hikes.
Japanese technology stocks tracked losses among U.S peers, while shares of local drugmakers declined after a noted vaccine sceptic was appointed to head the US health department.
Ueda reiterated that the central bank is prepared to raise borrowing costs if the economy aligns with its forecasts, while cautioning about external risks, including uncertainty over the US economy and volatile financial markets.
The Nikkei ended the day down 1.09% at 38,220.85.
The broader Topix lost 0.73%. Japanese stocks got some respite after the yen retreated to the weaker side of 155 per dollar from as strong as 153.84 during the session, but the currency was back at 154.32, as of 0633 GMT.
A strong yen reduces the value of overseas revenue for Japan’s heavyweight exporters, and also makes Japanese stocks more expensive for foreign investors.
Source: Brecorder
