Share

Tokyo stocks open lower as yen rises

Tokyo - Tokyo stocks opened lower on Tuesday, dragged down by a higher yen and worries over China.

The benchmark Nikkei 225 index, which fell for three straight days to Friday before a long weekend, lost another 0.98% or 232.01 points to 23 551.71 in early trade while the broader Topix index was down 0.85% or 15.26 points at 1 777.39.

"Export stocks will come under selling pressure as the yen's appreciation prompts caution," SBI Securities said in a commentary.

A strong yen is negative for Japanese exporters as it erodes their profit earned overseas when repatriated.

The dollar was trading at ¥113.03, down from ¥113.16 in New York on Monday afternoon and near ¥114 before Tokyo markets closed on Friday for the three-day weekend.

Chinese stocks tumbled on Monday as investors returned to a rash of negative news that had accumulated over a week-long holiday, from disappointing economic data to worsening tensions with the United States.

Italy's budget also remains a concern in Europe and US technology shares endured another sharp decline for a third day in a row, noted Rodrigo Catril, senior foreign exchange strategist at National Australia Bank.

The Japanese yen "has been the main beneficiary from the risk-off tone", he said in a client note.

In individual stocks trade, Toyota fell 2.54% to ¥6 824 and IT investor SoftBank Group lost 2.25% to ¥10 825.

* Sign up to Fin24's top news in your inbox: SUBSCRIBE TO FIN24 NEWSLETTER
We live in a world where facts and fiction get blurred
Who we choose to trust can have a profound impact on our lives. Join thousands of devoted South Africans who look to News24 to bring them news they can trust every day. As we celebrate 25 years, become a News24 subscriber as we strive to keep you informed, inspired and empowered.
Join News24 today
heading
description
username
Show Comments ()
Rand - Dollar
18.89
+0.3%
Rand - Pound
23.87
+0.1%
Rand - Euro
20.39
+0.2%
Rand - Aus dollar
12.32
+0.1%
Rand - Yen
0.12
+0.2%
Platinum
908.05
0.0%
Palladium
1,014.94
0.0%
Gold
2,232.75
-0.0%
Silver
24.95
-0.1%
Brent Crude
87.00
+1.8%
Top 40
68,346
0.0%
All Share
74,536
0.0%
Resource 10
57,251
0.0%
Industrial 25
103,936
0.0%
Financial 15
16,502
0.0%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Editorial feedback and complaints

Contact the public editor with feedback for our journalists, complaints, queries or suggestions about articles on News24.

LEARN MORE
Government tenders

Find public sector tender opportunities in South Africa here.

Government tenders
This portal provides access to information on all tenders made by all public sector organisations in all spheres of government.
Browse tenders