(RTTNews) – Japan’s stock market was modestly lower on Tuesday, extending losses in the previous session, with the Nikkei 225 remaining above the 27,600 level, following mixed signals from Wall Street overnight, with traders gained after the recent winning streak ahead of the US Federal Reserve’s monetary policy decision on Wednesday. Japan also confirmed its first case of monkey pox.
The benchmark Nikkei 225 Index is 59.44 points or 0.21 percent lower at 27,639.81, having previously hit a low of 27,538.39. Japanese stocks ended sharply lower on Monday.
Market heavyweight SoftBank Group is up nearly 3 percent, while Uniqlo operator Fast Retailing is down nearly 1 percent. Among automakers, Honda is up 0.3 percent and Toyota is flat.
In the tech space, Advantest is up 0.1 percent, while Tokyo Electron and Screen Holdings are down 0.4 percent each. In the banking sector, Mitsubishi UFJ Financial is up nearly 1 percent, while Mizuho Financial and Sumitomo Mitsui Financial are each up 0.4 percent.
The top exporters are mixed, with Sony and Mitsubishi Electric each up 0.5 percent, while Canon loses more than 1 percent and Panasonic nearly 1 percent. Of the other big losers, Omron loses almost 3 percent.
By contrast, JGC Holdings gains nearly 4 percent and Inpex adds more than 3 percent, while Idemitsu Kosan and Hitachi Construction Machinery are each up nearly 3 percent.
In economic news, members of the Bank of Japan’s Monetary Policy Board agreed that the country’s economy has picked up in recent months, according to the minutes of the central bank’s June 16-17 meeting on Tuesday. The bank noted that inflation has stabilized at around 2 percent, according to the minutes, mainly due to increases in food and energy prices.
At the meeting, the central bank left the key rate unchanged at -0.10 percent as expected and reaffirmed that it will buy a necessary amount of Japanese government bonds (JGBs) without setting a cap, so that the 10-year JGB yield will be around the zero percent.
In the foreign exchange market, the US dollar is trading in the lower 136 yen range on Tuesday.
On Wall Street, stocks ended on a mixed note Monday after a choppy session as investors remained largely cautious ahead of some key earnings updates, GDP data and the Federal Reserve’s monetary policy announcement.
The big averages ended up mixed. The Dow ended with a gain of 90.75 points or 0.28 percent at 31,990.04 and the S&P 500 settled in a gain of 5.21 points or 0.13 percent at 3,966.84, while the Nasdaq ended with a loss. of 51.45 points or 0.43 percent at 11,782.67.
European equities also performed differently. The UK’s FTSE 100 climbed 0.41 percent and France’s CAC 40 gained 0.33 percent, while Germany’s DAX fell 0.33 percent.
Crude oil futures came in sharply higher Monday as concerns about the outlook for energy demand eased, while dollar weakness ahead of the Fed’s forthcoming statement also supported crude oil prices. West Texas Intermediate crude futures for September closed $2.00 or 2.1 percent higher at $96.70 a barrel.
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