Tokyo Stocks Fall In Morning Following Decline In U.S. Shares

Tokyo stocks fell Wednesday morning, with investor sentiment hurt by an overnight decline on Wall Street amid lingering U.S.-China trade tensions.

The 225-issue Nikkei Stock Average shed 161.60 points, or 0.74 percent, from Tuesday to 21,623.94. The broader Topix index of all First Section issues on the Tokyo Stock Exchange was down 6.60 points, or 0.39 percent, at 1,686.20.

Decliners were led by electric appliance, machinery and miscellaneous product issues.

Shares moved in a narrow range as many investors refrained from active trading due to the U.S.Independence Day holiday on Wednesday, brokers said.

Market participants were also sidelined as the United States and China are expected to impose retaliatory tariffs on imports from each other on Friday, a move that could add to fears of a trade war between the world’s two largest economies.

“Japanese technology firms including chipmakers came under selling pressure and weighed on the market following an overnight fall in the U.S. Nasdaq Composite index amid growing U.S.-China trade concerns,” said Tsuyoshi Horota, general manager of investment research at SMBC Nikko Securities Inc.

The tech-heavy Nasdaq index was lowered amid news reports that a Chinese court has prohibited U.S. chipmaker Micron Technology Inc. from selling its products in China, Horota added

Semiconductor equipment maker Tokyo Electron dropped 940 yen, or 5.1 percent, to 17,625 yen while silicon wafer manufacturer SUMCO fell 112 yen, or 5.0 percent, to 2,147 yen.

On the First Section, declining issues outnumbered advancing ones 1,216 to 781, while 98 ended the morning unchanged.

This article provided by NewsEdge.