Japan's Nikkei slips as investors lock in profits, Fast Retailing drags

Hoya

05/07/2023 07:25

TOKYO, July 5 (Reuters) - Japan's Nikkei share average
fell for a second day on Wednesday as investors booked profits
after a recent rally, with Fast Retailing dragging the index
after the Uniqlo brand owner posted a drop in monthly sales.
    The Nikkei index  .N225  lost 0.25% to close at 33,338.70
but recouped most of its 1% declines earlier in the session.
    The broader Topix  .TOPX  ended almost flat, down 0.01% at
2,306.03.
    "Investors tried to lock in profits after a sharp rally,"
said Ikuo Mitsui, fund manager at Aizawa Securities.
    "Recently, the Nikkei has tended to pare losses because
there are still many investors who want to increase their
positions in Japanese stocks and they buy shares on dips, which
cuts some losses or even helps the index reverse course."
    Fast Retailing  9983.T  fell 2.54%, the biggest drag for the
Nikkei, after it reported a 3.4% decline in same-store sales for
June.
    Contact lens maker Hoya  7741.T  lost 2.86% to become the
biggest loser on the Nikkei.  
    Chip-making equipment maker Tokyo Electron  8035.T  fell
0.35% and medical equipment maker Terumo  4543.T  lost 1.61%.
    Daiichi Sankyo  4568.T  surged 6.82% to become the top
gainer on the Nikkei after tanking nearly 15% in the previous
session. 
    The pharmaceutical sector  .IPHAM.T  rose 1.78%, with
Sumitomo Pharma  4506.T  jumping 3.5%. 
    Shipping firm Kawasaki Kisen Kaisha  9107.T  surged 5.58%
and lifted the shipping sector  .ISHIP.T  3.42% to make it the
best performer among the 33 industry sub-indexes on the Tokyo
Stock Exchange.
    Of the Nikkei's components, 110 stocks rose and 113
declined, with two being flat.

 (Reporting by Junko Fujita; Editing by Savio D'Souza and
Nivedita Bhattacharjee)
 ((junko.fujita@thomsonreuters.com;))