Japanese Stocks Swing on Shipping Lines, Consumer Lenders
Japanese shares swung between gains and losses after Chinese stocks entered a bear market yesterday. Shipping lines led advances while consumer lenders fell the most among the 33 Topix index industry groups.
The Topix dropped 0.4 percent to 1,085.04 as of 9:39 a.m. in Tokyo, after rising as much as 0.1 percent. The Nikkei 225 Stock Average fell 0.2 percent to 13,031.63.
Kawasaki Kisen Kaisha Ltd. (9107) led shipping companies higher, advancing 4 percent. eGuarantee Inc. dropped 5.2 percent, pacing losses among consumer lenders. Rakuten Inc. fell 3.5 percent after the online retailer’s investment rating was cut by Mitsubishi UFJ Morgan Stanley Securities.
The Topix has fallen about 15 percent from an almost five-year high on May 22 after Prime Minister Shinzo Abe’s growth strategy disappointed investors and amid concern global stimulus will be cut. The measure is still up 26 percent this year.
Japan’s broader gauge traded at 13.7 times average estimated earnings through yesterday, compared with multiples of 14.3 for the Standard & Poor’s 500 Index and 12.2 for the Stoxx Europe 600 Index.
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