This photo shows the Tokyo Stock Exchange. (Mainichi)
TOKYO (Kyodo) — Tokyo stocks ended lower Monday as investors cautiously waited for developments over U.S. tariffs after President Donald Trump said letters with new unilateral rates will be sent to some countries this week.
The 225-issue Nikkei Stock Average lost 223.20 points, or 0.56 percent, from Friday at 39,587.68. The broader Topix index finished 16.23 points, or 0.57 percent, lower at 2,811.72.
On the top-tier Prime Market, decliners were led by bank, nonferrous metal and iron and steel issues.
The U.S. dollar climbed to the lower 145 yen range in Tokyo after directionless trading in the absence of fresh trading cues, dealers said.
The Nikkei stock index traded mostly lower as many investors refrained from trading actively amid uncertainty over whether Japan is among the countries the letters are to be sent to this week, with a pause on so-called reciprocal tariffs set to expire on Wednesday.
“President Trump may be reluctant to reduce tariff rates” as he needs to secure revenues through levies after his tax cut bill was passed by Congress, said Masahiro Yamaguchi, head of investment research at SMBC Trust Bank.
“The market’s current atmosphere appears a bit optimistic, thus facing the risk of a sharp slide,” he added.
The market was also dragged down by concern over the adverse impact of U.S. tariffs on the performance of Japanese companies as robotics company Yaskawa Electric tumbled after revising down on Friday its earnings outlook for the business year through February, citing demand uncertainty.
AloJapan.com