TOKYO: Japanese stocks skidded on Tuesday as investors took a step back after the heavy buying seen on Monday and nervously waited for data on the Chinese economy.
The Nikkei share index fell 0.5 percent by 0127 GMT to 15,026.47.
Investors looked past solid advances on Wall Street overnight, where investors were bouyed by hopes of a strong earnings season, and the Tokyo bourse's strong performance on Monday, when the Nikkei posted its biggest daily gain since June 2013.
"There's a real wait-and-see mood in the air. Market players are cautious," said Masayuki Doshida, senior analyst at Rakuten Securities.
Data due at 0200 GMT is expected to show that China's economy grew at its weakest pace since 2009 as a property downturn drags on manufacturing and investment.
Worse than expected data would fuel speculation that Communist Party leaders may implement major stimulus measures such as an interest rate cut.
The Japanese steel, shipping and construction machinery sectors, sensitive to fluctuations in the world's second biggest economy, may be affected by the Chinese figures.
"Investors have been fearing bad news from China, and it could hit the market," said Makoto Kikuchi, CEO of Myojo Asset Management in Tokyo.
Outperforming the market was Fujifilm, which gained 2.7 percent in early trade after it announced it was expanding production of its Avigan anti-influenza drug, for possible use in the fight against Ebola.
With the dollar flat at 106.79 yen, exporters' shares were steady. Toyota Motor Corp was up 0.4 percent, while Honda Motor Co Ltd lost 0.2 percent.
The broader Topix fell 0.2 percent to 1220.71, while the new JPX-Nikkei Index 400 shed 0.3 percent to 11,107.89.
Comments
Comments are closed.