RTTNews - The stock market in Japan ended in the negative territory on Thursday, dragged down by exporters on stronger local currency that not only makes Japanese goods dearer but also affects repatriated export earnings in local currency terms and negatively impacts earnings. Weak oil prices in international market and concerns about U.S earnings also impacted sentiment.
In the U.S., stocks ended mixed amid choppy trading as traders preferred to stay away from taking positions ahead of results from Alcoa. Defensive stocks such as pharmaceuticals, retail and oil service stocks posted gains, while metals, banks, telecommunication and networking stocks saw considerable weakness.
The Dow closed up by 14.81 points or 0.2% at 8,178 and the Nasdaq rose by 1 point or 0.1% to 1,747, while the S&P 500 fell 1.47 points or 0.2% to 880.
The Nikkei 225 Average opened sharply lower at 9,342 compared to its previous close of 9,421 and continued to drift lower on stronger yen. A minor attempt to trim losses in mid-morning session proved futile and the index ended the trading session at 9,291, representing a loss of 129.69 points, or 1.38%. The broader Topix Index of all first section issues issues declined 14.63 points, or 1.65%, to 874.
Light sweet crude oil for August delivery ended at $60.56 a barrel in Asian trading, up $0.42 a barrel, after declining $2.79 to close $60.14 a barrel in New York amid increasing concerns about demand and a global recovery.
Exporters declined following a stronger local currency. Honda Motor declined 2.72%, Canon Inc fell 1.51%, Mitsubishi Corp lost 1.47%, Sony Corp. shed 2.81% and Sumitomo Corp declined 1.54%.
Banking stocks declined on concerns about recovery. Mitsubishi UFJ lost 3.51%, Mizuho Financial fell 2.83%, Bank of Yokohama slumped 3.38%, Resona Holdings slipped 3.27% and Sumitomo Mitsui declined 3.01%.
Oil stocks also ended in negative territory. Impex edged down 0.57%, Nippon Oil lost 1.62% and Showa Shell fell 2.24%.
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