TOKYO: 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 lost 0.25% to close at 33,338.70 but recouped most of its 1% declines earlier in the session.
The broader Topix 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.
Japan’s Nikkei pulls back from 33-year high on profit taking
“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 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 lost 2.86% to become the biggest loser on the Nikkei.
Chip-making equipment maker Tokyo Electron fell 0.35% and medical equipment maker Terumo lost 1.61%.
Daiichi Sankyo surged 6.82% to become the top gainer on the Nikkei after tanking nearly 15% in the previous session.
The pharmaceutical sector rose 1.78%, with Sumitomo Pharma jumping 3.5%.
Shipping firm Kawasaki Kisen Kaisha surged 5.58% and lifted the shipping sector 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.
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