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Tokyo stocks end mixed as tech gains offset by weak autos
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TOKYO (Kyodo) -- Tokyo stocks ended mixed on Friday, as gains in technology shares were offset by losses in automakers as the yen strengthened amid wariness over a possible yen-buying intervention by Japanese authorities.
The 225-issue Nikkei Stock Average ended up 118.96 points, or 0.30 percent, from Thursday at 39,500.37. The broader Topix index finished 0.93 point, or 0.03 percent, lower at 2,742.15.
On the top-tier Prime Market, gainers included precision instrument and service issues, while pulp and paper, and transportation equipment issues led decliners.
The U.S. dollar fell slightly to the upper 152 yen range in Tokyo after Finance Minister Katsunobu Kato said the government will take "appropriate steps to counter excessive moves" amid the yen's recent declines.
The yen has been weakening against the dollar recently on speculation that policies proposed by U.S. President-elect Donald Trump such as tax cuts and higher tariffs will lead to rising U.S. interest rates, dealers said.
Tokyo shares were buoyed by optimism about the U.S. economy after the Federal Reserve cut interest rates by 0.25 percentage point as widely expected on Thursday to support growth. Technology stocks rose after the U.S. Nasdaq index closed at a record high.
But the Nikkei turned negative at one point, as the yen's appreciation prompted the selling of auto issues, with sentiment also dampened by Nissan Motor plunging 6 percent after it announced a sharp drop in profits in the April-September period and a plan to cut 9,000 jobs.
Shingo Ide, chief equity strategist at the NLI Research Institute, said market sentiment was hit by the yen's appreciation, although the finance minister's comments were not surprising.
The enthusiasm for the so-called Trump trades -- marked by higher U.S. interest rates, stocks and a stronger dollar -- "has come to an end for now," Ide said. "Investors are waiting to see how much he will implement his policies and in what order they will be carried out."
==Kyodo
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