Japanese shares extended losses on Tuesday

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Source: Dukascopy Bank SA

Japanese stocks moved lower on Tuesday after Moody's reduced EU AAA rating to ‘negative' and warned the credit rating may be downgraded. Moody's attributed the move to spreading debt crisis in the region. The Nikkei 225 Index inched down 0.16% to approach one-month low of 8,775.51. Four in ten economic sectors within the index moved higher. Industrials and oil and gas firms led the gains. Amada and Asahi Glass gained 0.85% and 1.47% while Inpex and JX Holdings rose by 0.92% and 2.34%. Meanwhile, Sharp was the top-gainer, rallying by 12.37% as doubts over potential Hon Hai Precision Industry's investment vanished. Terry Gou, Chairman of Hon Hai Precision Industry, announced that he demanded a management role in Sharp as a step towards an equity tie-up. Weighting down on the Japanese stock index, utilities and telecommunications tumbled.  Shares of Chubu Electric Power and Central Japan Railway declined by 3.48% and 0.45%.

 

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