Tokyo stocks open lower ahead of earnings

TOKYO: Tokyo stocks opened lower on Tuesday in cautious trade ahead of corporate earnings reports in Japan and abroad.

The benchmark Nikkei 225 index was down 0.51 percent or 147.96 points at 28,674.33 in early trade, while the broader Topix index edged down 0.50 percent or 9.28 points to 1,852.72.

"Japanese shares are seen moving in a narrow range ahead of the country's corporate earnings season," Okasan Online Securities said.

"Lower yields in the US can provide some support to tech shares, but today's trading session will deter investors from moving actively ahead of earnings from big US tech firms," it said.

The dollar fetched 103.78 yen against 103.77 yen in New York late Monday.

On Wall Street, tech shares were on top again as a heavy week of corporate earnings kicked off while pharmaceutical companies offered mixed news on coronavirus vaccines.

The tech-rich Nasdaq Composite Index finished at a record for the fourth straight session, gaining 0.7 percent, and the broad-based S&P 500 rose 0.4 percent.

But the bellwether Dow Jones Industrial Average shed 0.1 percent to 30,960.00.

Apple, Microsoft and Facebook shares all moved solidly higher ahead of earnings releases later in the week.

In Tokyo, tech components maker Nidec was up 2.97 percent at 14,745 after it raised its annual outlook and said it will buy back shares after reporting quarterly profit and sales that topped analysts' estimates.

Construction machine maker Komatsu was down 1.65 percent at 2,886.5 yen, despite announcing a partnership with US electric vehicle company Proterra to develop battery-powered construction equipment.

Among other major shares, Toyota was down 1.51 percent at 7,561 yen and Sony was off 0.87 percent at 10,210 yen.