Nikkei declines for the second day in a row as yen rises

Japan’s Nikkei index closed lower for the second day in a row on Thursday, following a surprise rise in the yen and mixed performance on Wall Street, which affected sentiment.

According to Reuters, the index oscillated between ups and downs during the session, but ultimately closed with a decline of 0.1%, recording 38,236.07 points.

But losses were limited as investors avoided making any major moves before the market entered a longer weekend than usual.

The broader Topix index fell 0.03% to 2,728.53 points.

The sudden and strong rise of the yen put pressure on the shares of export-related companies, such as Toyota Motor, whose shares fell 0.7%, and Honda Motor’s shares fell 0.3%. These companies usually benefit from the decline of the yen.

The performance of American stocks overnight was characterized by variation, with a decline witnessed in the Philadelphia Semiconductor Index in particular after the release of weak quarterly business results from Advanced Micro Devices and Super Micro Computer.

The faltering rise in technology stocks abroad limited the gains of Japanese stocks in the same sector. Chip-related Tokyo Electron shares rose 0.2%, while Advantest shares fell 0.7%. SoftBank Group’s shares, which invest in emerging technology companies, rose only 0.05%.