RTTNews - The stock market in Japan ended in negative territory on Wednesday as traders preferred to lock-in gains following recent rally and move to sidelines ahead of the key FOMC announcement later in the day in the U.S. Strengthening of the local currency against the greenback also affected market sentiment with exporters ending weaker.

The benchmark Nikkei 225 Index ended the session at 10,435, down 150.46 points, or 1.42%, while the broader Topix index of all first section stocks slipped into negative territory with a loss of 13.40 points, or 1.40% at 960.

Releasing its Monthly report on Recent Economic and Financial Developments, the Bank of Japan maintained its economic assessment for the country, after having upgraded the assessment in the past three months. Reaffirming its statement made in July that economic conditions have stopped worsening, the Bank said that economic conditions are likely to turn upward over time.

Separately, the Bank of Japan revealed that the corporate goods price index, or the the prices paid by producers dropped at a record pace in July. The Bank stated that corporate goods prices slipped 8.5% year-on-year in July, quicker than the 6.7% fall in the preceding month. However, month-on-month, the producer prices climbed 0.4% in July, reversing ten consecutive months of falls.

Light sweet crude oil price for September delivery ended at $69.33 a barrel in electronic trading, down $0.12 from its previous close $69.45 a barrel in New York on Tuesday.

Profit taking was witnessed across the board as traders preferred to lock in gains and move to sidelines ahead of key FOMC announcement in the U.S. Exporters declined following appreciation of the local currency, Japanese Yen, against the greenback.

Banks ended in negative territory on profit taking. Mitsubishi UFJ Financial lost 1.48%, Mizuho Financial fell 1.26%, Resona Holdings declined 1.42% and Sumitomo Mitsui Financial shed 1.44%.

Trading companies ended weaker. Mitsubishi Corp. fell 2.58%, Mitsui & Co., lost 3.00%, Sumitomo Corp shed 2.41%, Toyota Tsusho Corp slipped 1.33% and Itochu Corp. declined 1.62%.

Automotive stocks also slipped on profit taking. Toyota Motor Corp. lost 2.42%, Honda Motor slumped 4.10%, Suzuki Motor shed 1.31% and Nissan Motor declined 2.20%.

Among shipping stocks, Nippon Yusen lost 2.40% and Mitsui OSK Lines fell 1.51%. Kawasaki Kisen however remained unchanged from previous close.

In retail space, Fast Retailing edged down 0.70%, J Front Retailing slipped 1.13%, Seven & I Holdings lost 2.13% and Aeon & Co., fell 1.31%.

In the U.S., stocks ended in negative territory on Tuesday as traders preferred to lock in gains ahead of key economic data slated for release during the later part of the week that includes FOMC meeting announcement and retail sales.

The Dow closed down by 96.50 points or 1% at 9,241, the Nasdaq slipped by 22.51 points or 1.1% to 1,970 and the S&P 500 fell by 12.75 points or 1.3% to 994.

For comments and feedback: contact editorial@rttnews.com