Nikkei slid on weak banks and utility companies

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Source: Dukascopy Bank SA

Japanese stocks retreated on Wednesday as financials and utility companies  slumped. Reports that euro-area GDP contracted in Q2 created notable pressure on Japan's equities. However, positive headlines from the US supported stocks. The Nikkei 225 Index lost 0.05% to trade at 8,925.04. A half of the sectors included in the index advanced. The biggest gains posted telecommunications and technology companies. KDDI and Softbank rose 0.53% and 0.46% while Canon and Yokogawa Electric climbed 0.71% and 0.23%. At the same time, utilities, oil and gas and financials moved lower. Among utilities, Chubu Electric Power and Kansai Electric Power tumbled by 0.67% and 2.62%. Oil and gas companies as well as steel firm also declined, with Showa Shell Sekiyu, Japan Steel Works and Kobe Steel plunging 1.63%, 1.35% and 5.71%, respectively. Financial shares sank, with Mitsubishi UFJ Financial Group and Mizuho Financial Group dropping by 0.55% and 0.78%.

 

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