HT Image
HT Image

Nikkei edges lower, but shrugs off Spain

Japan's Nikkei average slipped 0.2 per cent on Monday, as trading firms lost ground after commodities prices fell following a downgrade in Spain's credit rating that reinforced worries about euro zone debt issues.
By HT Correspondent | Reuters, Tokyo
UPDATED ON MAY 31, 2010 09:17 AM IST

Japan's Nikkei average slipped 0.2 per cent on Monday, as trading firms lost ground after commodities prices fell following a downgrade in Spain's credit rating that reinforced worries about euro zone debt issues.

But a number of exporters including Canon Inc edged higher as the yen fell back against the dollar and the euro, with market players saying investors were bargain hunting on any dips in stock prices.

Fitch cut Spain's credit rating by one notch on Friday, saying the country's economic recovery will be more muted than the government forecast due to its austerity measures. The downgrade helped send Wall Street lower ahead of a three-day weekend.

Market players said however the impact of the rating cut on the broader market was limited for now, noting that many analysts had expected the move and only the timing was a surprise.

"While Fitch did cut Spain's rating, S&P did the same thing in April, so it's not as if the move was all that new," said Takashi Ushio, head of the investment strategy division at Marusan Securities.

"There's the sense that the Nikkei may be about to start a bit of a rebound. It's held up quite well even though Wall Street fell. But gains will definitely be capped around 10,000 for now."

The benchmark Nikkei shed 20.27 points to 9,742.71 while the broader Topix was flat at 828.14.

The Nikkei has lost 12 per cent during May as of the end of trade on Friday, putting it on track for its worst one-month performance in well over a year.

But technical indicators are starting to point tentatively towards a possible rebound, with the Nikkei's relative strength index (RSI) climbing above 30 late last week. Anything under 30 is considered oversold.

The Nikkei's MACD has also stopped falling and appears to be inching upwards.

"The Fitch ratings cut on Spain shows that the European issues have not yet been cleared up at all, and this prompted selling of overseas stocks," said Hiroichi Nishi, general manager at the equity division of Nikko Cordial Securities.

"Yet while there's a trend towards a stronger yen, it isn't pronounced, and it's possible that Wall Street's falls may have been exaggerated by investor desire to take profits ahead of a three-day weekend. All of this may limit falls."

The euro rose 0.6 per cent against the yen to 112.56 yen while the dollar rose 0.3 per cent against the yen at 91.38 yen

Canon rose 1.1 per cent to 3,780 yen and TDK Corp crawled up 0.4 per cent to 5,360 yen.

Honda Motor Co was slightly firmer at 2,783 yen. It said it expected production at a China parts plant, the centre of a labour dispute, to resume on Monday.

Trading houses slid after metals prices fell on Friday in the wake of the Spain ratings cut.

Mitsubishi Corp shed 1.5 per cent to 2,042 yen and Mitsui & Co lost 2 per cent to 1,295 yen. Itochu Corp fell 1.7 per cent to 745 yen.

SHARE THIS ARTICLE ON
app
Close
Family members of a migrant labourer on foot walking from Delhi to their native place spotted on Delhi-Kolkata NH 2, during the nationwide Covid-19 lockdown, in Dhanbad. (Chandan Paul/Hindustan Times)
Family members of a migrant labourer on foot walking from Delhi to their native place spotted on Delhi-Kolkata NH 2, during the nationwide Covid-19 lockdown, in Dhanbad. (Chandan Paul/Hindustan Times)

The poorest have been worst hit by pandemic

By , New Delhi
PUBLISHED ON JAN 28, 2021 02:45 AM IST
  • Azim Premji University carried out a lockdown survey in April and May of 4,942 workers. Six months later (September-November), we revisited the same workers and managed to interview 2,778 of them.
Close
As per the RBI Act, 1934, the Centre, in consultation with RBI, has to finalize the inflation target for the next five years starting 1 April and also get it passed by Parliament. ( Ramesh Pathania/Mint Archives)
As per the RBI Act, 1934, the Centre, in consultation with RBI, has to finalize the inflation target for the next five years starting 1 April and also get it passed by Parliament. ( Ramesh Pathania/Mint Archives)

Govt mulls 5% inflation goal to give RBI room to trim rates

By Rajeev Jayaswal, Hindustan Times, New Delhi
PUBLISHED ON JAN 28, 2021 02:18 AM IST
  • The proposal will be announced along with other fiscal measures in the Budget for FY22 aimed at reviving growth, two persons aware of the development said.
Close
Gopinath, in response to a question on the new farm laws, said: “These particular farm laws were in the area of marketing."(File photo)
Gopinath, in response to a question on the new farm laws, said: “These particular farm laws were in the area of marketing."(File photo)

India’s new agri laws have potential to raise farm income: IMF's Gita Gopinath

PTI, Washington
PUBLISHED ON JAN 27, 2021 11:24 PM IST
There are multiple areas where the reforms are needed, including infrastructure, the Chief Economist of the Washington-based global financial institution said on Tuesday.
Close
A total of 56.01 per cent children were found to have no access to smartphones, the study said.(Unsplash)
A total of 56.01 per cent children were found to have no access to smartphones, the study said.(Unsplash)

Chinese smartphone brands expanded India market share in 2020: Report

Reuters
PUBLISHED ON JAN 27, 2021 08:25 PM IST
Chinese brands commanded 75% of India's smartphone market last year, up from 71% in 2019 and the highest since at least 2014.
Close
Goyal said that the strong growth of startups could transform India from a screwdriver economy to technology-driven economy.(PTI File Photo)
Goyal said that the strong growth of startups could transform India from a screwdriver economy to technology-driven economy.(PTI File Photo)

Business should dedicate portion of their wealth to fund startups: Goyal

PTI
PUBLISHED ON JAN 27, 2021 07:07 PM IST
He suggested that business persons can come together and pool their resources, "may be an initial 10,000 crore fund," which is domestically driven and professionally managed, with no role of government in it.
Close
FDI is a major driver of economic growth and an important source of non-debt finance for the economic development of India.(Reuters)
FDI is a major driver of economic growth and an important source of non-debt finance for the economic development of India.(Reuters)

FDI into India up 37 percent to USD 43.85 billion during April-November 2020

PTI, New Delhi
PUBLISHED ON JAN 27, 2021 06:32 PM IST
Total FDI inflows during the eight-month period of the current fiscal grew by 22 per cent to USD 58.37 billion.
Close
In the four straight sessions, the benchmark has fallen by 2,382.19 points or 4.78 per cent.(PTI)
In the four straight sessions, the benchmark has fallen by 2,382.19 points or 4.78 per cent.(PTI)

Investors' wealth plunge over 8 lakh crore in 4 days

PTI, New Delhi
PUBLISHED ON JAN 27, 2021 06:25 PM IST
In the broader market, the smallcap and midcap indices fell up to 1.38 per cent.
Close
“CBDT issues refunds of over Rs. 1,81,336 crore to more than 1.74 crore taxpayers between 1st April, 2020 to 25th January, 2021,” the department tweeted. (Representative Image)(Mint Photo)
“CBDT issues refunds of over Rs. 1,81,336 crore to more than 1.74 crore taxpayers between 1st April, 2020 to 25th January, 2021,” the department tweeted. (Representative Image)(Mint Photo)

Income Tax refunds worth 1.81 lakh cr issued so far in FY21

PTI
PUBLISHED ON JAN 27, 2021 06:21 PM IST
Of this, personal income tax refunds of 62,231 crore have been issued to over 1.71 crore taxpayers and corporate tax refunds of 1.19 lakh crore have been issued in 2.12 lakh cases.
Close
Indigo Paints is the fifth-largest company in the paint industry in terms of the revenue from operations for fiscal year 2020.(iStock)
Indigo Paints is the fifth-largest company in the paint industry in terms of the revenue from operations for fiscal year 2020.(iStock)

Indigo Paints IPO allotment to be announced on January 28

By hindustantimes.com | Edited by Mallika Soni
PUBLISHED ON JAN 27, 2021 06:17 PM IST
The IPO which is worth 1170 crore included fresh issue of shares worth 300 crore and offer-for-sale (OFS) of up to 58.40 lakh equity shares by private equity firm Sequoia Capital and promoter Hemant Jalan.
Close
A man wearing a protective mask, amid the coronavirus disease (COVID-19) outbreak, stands in front of an electric board showing Nikkei index outside a brokerage in Tokyo, Japan January 21, 2021. REUTERS/Kim Kyung-Hoon(REUTERS)
A man wearing a protective mask, amid the coronavirus disease (COVID-19) outbreak, stands in front of an electric board showing Nikkei index outside a brokerage in Tokyo, Japan January 21, 2021. REUTERS/Kim Kyung-Hoon(REUTERS)

World shares turn lower on pandemic concerns, ahead of Fed

AP
PUBLISHED ON JAN 27, 2021 06:04 PM IST
Markets have meandered since last week as investors weighed solid corporate earnings results against renewed worries that troubles with Covid-19 vaccine rollouts and the spread of new variants of coronavirus might delay a recovery from the pandemic.
Close
The Bombay HC has ruled that private entities such as Facebook, Twitter and Instagram should not carry political ads 48 hours before voting in general elections.(Reuters File /)
The Bombay HC has ruled that private entities such as Facebook, Twitter and Instagram should not carry political ads 48 hours before voting in general elections.(Reuters File /)

Facebook investors shrug off election woes, look for 'social commerce' payday

Reuters
PUBLISHED ON JAN 27, 2021 05:48 PM IST
The world's biggest social media company is poised to reap a windfall from that gambit, analysts say, bolstered by a return in ad growth rates to pre-Covid levels and a holiday shopping boost from its new "social commerce" features.
Close
A customer hands Indian currency notes to an attendant at a fuel station in Mumbai, India.(Reuters)
A customer hands Indian currency notes to an attendant at a fuel station in Mumbai, India.(Reuters)

Rupee settles 2 paise higher at 72.92 against US dollar

PTI
PUBLISHED ON JAN 27, 2021 04:35 PM IST
Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, advanced 0.25 per cent to 90.39.
Close
The benchmark S&P BSE Sensex gained 0.6% to 49,177.99 by 0353 GMT.(Mint file photo)
The benchmark S&P BSE Sensex gained 0.6% to 49,177.99 by 0353 GMT.(Mint file photo)

Indices close in red: Sensex falls 937 points, Nifty below 14,000

By hindustantimes.com
UPDATED ON JAN 27, 2021 04:22 PM IST
Sensex sheds 937 points; Nifty ends below 14,000 dragged by banks, metal stocks
Close
Under an adverse economic scenario considered by the IMF, the world’s banks would fall $420 billion below regulatory capital requirements.(Reuters file photo)
Under an adverse economic scenario considered by the IMF, the world’s banks would fall $420 billion below regulatory capital requirements.(Reuters file photo)

IMF favours extension of pandemic support, thrust on infra investment in Budget

PTI
PUBLISHED ON JAN 27, 2021 03:32 PM IST
On Tuesday, the IMF projected an impressive 11.5% growth rate for India in 2021. While this is attributable to the stronger than expected recovery, Gopinath said India still has some distance to go.
Close
European Union (EU) flags outside the Berlaymont building in Brussels, Belgium.(Bloomberg)
European Union (EU) flags outside the Berlaymont building in Brussels, Belgium.(Bloomberg)

European economy lags behind China and US on pandemic recovery

Bloomberg
PUBLISHED ON JAN 27, 2021 03:23 PM IST
  • That was the upshot of the International Monetary Fund’s forecasts on Tuesday, which downgraded the growth outlook for 2021 across Europe and underscored a generally poorer performance compared with China and the US.
Close
SHARE
Story Saved
OPEN APP