Get 40% Off
😲 Missed the +20.8% surge in our stock strategy last month? Not again! Get premium insightsGet 40% Off

Nikkei slips on profit-taking after recent rally; semi-conductors weigh

Published 18/01/2021, 07:56
Updated 18/01/2021, 08:00
© Reuters

© Reuters

TOKYO, Jan 18 (Reuters) - Japanese stock prices slid on
Monday as investors took profits from recent gainers, including
semiconductor-related shares, following the market's rapid
ascent to a three-decade high earlier this month.
The Nikkei average .N225 dropped 0.97% to end at
28,242.21, slipping further from its 30-year peak of 28,979
touched last week. It is still up 2.90% so far this month.
The broader Topix .TOPX lost 0.60% to 1,845.49.
"The market's rally over the last month has been so fast
that many people are feeling that there's a bit of over-heating
here," said Takeo Kamai, head of execution services at CLSA.
Investors booked profits on shares that rallied on hopes of
big stimulus spending by the incoming Biden Administration in
the United States.
Apart from profit-taking, semi-conductor shares were also
under pressure after a Reuters report that the Trump
administration notified Huawei suppliers, including chipmaker
Intel, of revoking certain licences to sell to the Chinese
company and intended to reject dozens of other applications to
supply the telecommunications firm. Tokyo Electron 8035.T fell 1.6% while Advantest 6857.T
lost 1.9%.
Camera maker Nikon 7731.T dropped 6.8% after having
rallied more than 20% earlier this month.
Department store operators also slumped on fears about
longer social-distancing restrictions as the country struggled
to stem the spread of COVID-19.
Isetan Mitsukoshi Holdings 3099.T lost 6.6% and J. Front
Retailing 3086.T fell 5.6%.
Nidec 6594.T bucked the overall trend to gain 4.6% as
investors bet on its strength in motors for electric vehicles.
The index of Mothers start-up shares .MTHR rose 1.56%,
The market showed a muted response to a raft of Chinese
economic data. Trade was also slow due to a U.S. market holiday, with
turnover missing the two trillion yen mark for the first time in
two weeks.



Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.