Friday, 20 May, 2022

Tokyo stocks open lower

TOKYO: Tokyo stocks opened lower on Monday after Wall Street shares plunged on anxiety over higher interest rates.

The benchmark Nikkei 225 index was down 1.53 percent, or 414.57 points, at 26,690.69 in early trade, while the broader Topix index was down 1.58 percent, or 30.16 points, at 1,874.99, reports AFP.

"Japanese shares are seen starting with falls, following declines in the US market," where worries over interest-rate hikes dampened investor sentiment, said senior analyst Toshiyuki Kanayama of Monex.

The dollar fetched 128.63 yen in early Asian trade, against 128.51 yen in New York late Friday.

Global stock markets dropped sharply ahead of the weekend as the latest hawkish commentary from the Federal Reserve sent investors fleeing equities.

Frankfurt ended down 2.5 percent on Friday and Paris fell two percent, while London lost 1.4 percent. Wall Street followed the trend with the Dow finishing down 2.8 percent.

In Tokyo, ANA Holdings dropped 3.07 percent to 2,418.5 yen after the airline cut its full-year net sales guidance.

Nissan dropped 4.13 percent to 514.7 yen after a Bloomberg report said Renault was considering selling some of its Nissan shares.

Last week, French investigators issued international arrest warrants for disgraced former Nissan boss Carlos Ghosn and four others who allegedly helped him syphon millions of euros from Renault.

Toyota was down 2.04 percent at 2,165 yen and Honda was off 1.45 percent at 3,330 yen.

Drugmaker Shionogi was up 0.29 percent at 6,975 yen after it said trials of the Covid-19 pill it is developing had produced promising results.