TOKYO: Tokyo stocks closed lower Monday on growing concerns over an economic slowdown that took hold on Wall Street and prompted sell-offs of high-tech shares.
The benchmark Nikkei 225 index slipped 0.77 percent, or 215.41 points, to end at 27,699.25, while the broader Topix index fell 0.65 percent, or 12.76 points, to 1,943.21.
The dollar stood at 136.32 yen, against 136.05 yen in New York on Friday.
The Nikkei started trading lower as investors “grew spooked by the fact that high-tech shares in the US market fell overall due to worries over an economic slowdown”, Okasan Online Securities said in a note.
The US Composite Purchasing Managers’ index (PMI) for July, released by S&P Global last week, was 47.5, down from 52.3 in June, falling below the 50-point level that indicates growth.
Profit-taking pressure on investors also strengthened with the yen’s appreciation against the dollar which “presented a headwind, especially for the export sector”, the brokerage said.
Tokyo stocks close higher on hopes for brisk earnings
Among major shares in Tokyo, Toyota fell 1.65 percent to 2,166 yen, SoftBank edged up 0.41 percent to 5,505 yen and Sony Group slid 2.66 percent to 11,705 yen.
Uniqlo operator Fast Retailing dropped 0.53 percent to 79,780 yen.
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