TOKYO: Japan’s Nikkei share average ended lower on the last trading day of the year, retreating from a more than three-decade high hit in the previous session as investors booked profits, but it logged gains for a second straight year.

The benchmark Nikkei share average fell 0.45% to 27,444.17 on Wednesday, after closing at its highest level since Aug. 16, 1990 in the previous session.

The broader Topix slipped 0.8% to 1,804.68, pulling back from its highest level since October 2018 reached on Tuesday.

On the year, the Nikkei was up 16% compared to an 18.2% gain in 2019. It rose nearly 18.4% in the quarter, marking the biggest quarterly gain since the three months ended March 2013.

The Topix was nearly 4.8% higher in 2020 after climbing more than 15.2% in the previous year.

Japanese financial markets will be closed from Thursday and reopen on Monday, Jan. 4.

The top underperformers among the Topix 30 were Honda Motor and Shin-Etsu Chemical, losing 1.78% and 1.66%, respectively.

Seiko Epson Corp, Mitsui E&S Holdings and Sapporo Holdings were the biggest percentage losers in the index, down between 3.26% and 3.89%.

Renewable energy developer Renova rose 4.9% to reach its record high, benefiting from investors’ growing expectations for clean energy.

The Mothers Index of start-up firms added 0.37%, ending with the biggest yearly gain since 2013. “Not a lot of investors would be willing to force themselves to make year-end positions, especially a day after many market players made large purchases,” a market participant said. Market sentiment was also hit by overnight losses on Wall Street as doubts re-emerged about whether the US Senate would authorise additional pandemic aid cheques.—Reuters