BLBG: Japan's Nikkei 225 Falls on China Concern; Toyota Gains on Profit Outlook
Japan’s Nikkei 225 Stock Average fell for the first time in four days, as machine makers slid after China’s central bank increased interest rates. Toyota Motor Corp. advanced after raising its profit forecast.
Komatsu Ltd., an earthmover maker that gets about 22 percent of sales from China, slid 1.7 percent after an interest increase in the nation fueled concerns economic growth will slow. Mitsubishi Estate Co., Japan’s No. 2 developer, slid 1.8 percent after an office brokerage said Tokyo vacancy rates rose in January. Yokogawa Electric Corp., a maker of electronic measuring tools, tumbled 11 percent after saying it will not pay a dividend. Toyota, the world’s largest automaker, jumped 5.2 percent, leading carmakers higher.
“Concerns about China’s interest hike slows the momentum of Japanese stocks,” said Naoki Fujiwara, who helps oversee $6 billion in Tokyo at Shinkin Asset Management Co.
The Nikkei 225 Stock Average declined 0.2 percent to 10,617.83 at the close in Tokyo, after rising as much as 0.6 percent. The broader Topix was almost unchanged at 944.02 compared with yesterday’s close of 944.00. About the same number of stocks rose as fell on the Topix.
To contact the reporter on this story: Kana Nishizawa in Tokyo at knishizawa5@bloomberg.net.
To contact the editor responsible for this story: Nick Gentle at ngentle2@bloomberg.net.