AGL 40.17 Increased By ▲ 0.17 (0.43%)
AIRLINK 127.31 Increased By ▲ 0.27 (0.21%)
BOP 6.60 Decreased By ▼ -0.07 (-1.05%)
CNERGY 4.48 Decreased By ▼ -0.03 (-0.67%)
DCL 8.55 No Change ▼ 0.00 (0%)
DFML 41.95 Increased By ▲ 0.51 (1.23%)
DGKC 87.71 Increased By ▲ 0.86 (0.99%)
FCCL 32.70 Increased By ▲ 0.42 (1.3%)
FFBL 65.15 Increased By ▲ 0.35 (0.54%)
FFL 10.26 Increased By ▲ 0.01 (0.1%)
HUBC 109.90 Increased By ▲ 0.33 (0.3%)
HUMNL 14.62 Decreased By ▼ -0.06 (-0.41%)
KEL 5.11 Increased By ▲ 0.06 (1.19%)
KOSM 7.56 Increased By ▲ 0.10 (1.34%)
MLCF 41.60 Increased By ▲ 0.22 (0.53%)
NBP 59.80 Decreased By ▼ -0.61 (-1.01%)
OGDC 194.00 Increased By ▲ 3.90 (2.05%)
PAEL 28.28 Increased By ▲ 0.45 (1.62%)
PIBTL 7.81 Decreased By ▼ -0.02 (-0.26%)
PPL 151.85 Increased By ▲ 1.79 (1.19%)
PRL 26.48 Decreased By ▼ -0.40 (-1.49%)
PTC 16.20 Increased By ▲ 0.13 (0.81%)
SEARL 84.21 Decreased By ▼ -1.79 (-2.08%)
TELE 7.67 Decreased By ▼ -0.04 (-0.52%)
TOMCL 35.39 Decreased By ▼ -0.02 (-0.06%)
TPLP 8.11 Decreased By ▼ -0.01 (-0.12%)
TREET 16.07 Decreased By ▼ -0.34 (-2.07%)
TRG 52.63 Decreased By ▼ -0.66 (-1.24%)
UNITY 26.35 Increased By ▲ 0.19 (0.73%)
WTL 1.25 Decreased By ▼ -0.01 (-0.79%)
BR100 9,953 Increased By 69.4 (0.7%)
BR30 30,908 Increased By 307.7 (1.01%)
KSE100 93,785 Increased By 429.6 (0.46%)
KSE30 29,050 Increased By 119.3 (0.41%)

TOKYO: Japan’s Nikkei index fell for a third day on Tuesday, amid risks to growth from aggressive US monetary tightening and strict COVID-19 curbs in China, but ended off its lows as bargain hunting emerged and US stock futures pointed to a rebound.

The Nikkei closed 1.32% lower at 26,629.86, but after earlier sinking as much as 2.19%, the lowest since May 19. The broader Topix slid 1.19% to 1,878.45.

“There’s a stock feeling underpinning the market that stocks have gotten cheap, and we’re seeing some bargain hunting,” said a market participant at a domestic trust bank. Still, sentiment remains fragile.

Beijing is testing millions to stem the spread from a cluster infection at a 24-hour bar, with China’s vice premier saying COVID prevention and control needs to be strengthened. Shanghai is only just emerging from a crippling two-month-long lockdown.

“The reimposition of restrictions in Beijing, Shanghai and other places is sparking worries of new supply chain disruptions,” said Kazuo Kamitani, a strategist at Nomura Securities.

Meanwhile, investors are seen bracing for 150 basis points of rate hikes over two meetings by the Federal Open Market Committee — one that ends on Wednesday and another in the following month.

This is after data on Friday showed US consumer price inflation ran red hot.

“Right before the FOMC is a very difficult backdrop for growth stocks,” said a market participant at a domestic securities company. Wall Street confirmed a bear market overnight, with the S&P 500 dropping 3.88% on the day and down more than 20% from its most recent closing high.

The tech-heavy Nasdaq tumbled 4.6%.

Tech was among the Nikkei’s worst performing sectors, down 1.95%. Healthcare dropped 2.18%, while real estate slumped the most, down 2.97%.

Even financials gave up early gains on higher bond yields to end 0.14% lower. Of the Nikkei’s 225 components, 171 fell versus 52 that rose and two that were flat.

Tokyo shares open lower on inflation worries

Chip-making equipment maker Tokyo Electron sank 2.84%, and was the Nikkei’s biggest drag, shaving off 36 index points.

Startup investor SoftBank Group knocked another 28 points off the benchmark, with a 2.56% decline.

Travel-related stocks took a hit, with airlines ANA Holdings off 3.61% and Japan Airlines down 2.88%.

Comments

Comments are closed.