Japanese stocks, dollar drift lower
Nasdaq streak snapped at seven; Europe climbs
By Mariko Ando & Liza Roberts ,
CBS MarketWatch
Last Update: 10:11 PM ET Nov 9, 1999
World indexes
ADR Report
Currency rates
TOKYO (CBS. MW) -- Share prices in Tokyo were slightly lower
Wednesday morning, pressured by Wall Street's pull back overnight and
continued strength of the yen against the dollar.
The benchmark Nikkei Average fell 74.04 points, or 0.4 percent, to end
the morning session at 18,218.12. On Tuesday the Nikkei closed at
18,498.05 -- approaching its four-month high of 18,623.15 reached July
16.
Most of other Asian markets were up. Hong
Kong's Hang Seng Index was up 163.18 points, or
1.19 percent, to 13,832.88. Australia's All
Ordinaries advanced 27.20 points, or 0.94 percent
to 2932.10 and Malaysia's key index rose 18.03
points, or 2.52 percent, to 733.57.
The dollar was trading at 104.83 to the yen,
slipping 0.34 yen from late Tuesday in Tokyo. The
greenback slipped against the yen ahead of U.S.
producer price index due later in the day.
"Though the Nikkei dipped slightly, it's constantly
maintaining above 18,000 line these days. In a few
weeks, it should clear the 18,500 hurdle," said
Yukio Takahashi, a manager in the equity
department of Wako Securities.
"Once it breaches 18,500, it wouldn't take so long to reach the 19,000
bar," Takahashi added.
A few blue-chip technology exporters suffered with the firmer yen. Sony
Corp. (SNE: news, msgs) lost 280 yen to 17,710. NEC Corp. (NIPNY:
news, msgs) slipped 10 yen to 2240. But Fujitsu Ltd. (FJTSY: news,
msgs) added 20 yen to 3410. Matsushita Electric Industrial Co. (MC:
news, msgs) was up 130 yen to 2360 and Canon Inc. (CANNY: news,
msgs) added 70 yen to 3030.
Japan's automotive sector was mixed, with shares of Nissan (NSANY:
news, msgs) shedding 23 yen to 582. Honda (HMC: news, msgs) lost
140 yen to 4420. Toyota (TM: news, msgs) picked up 10 yen to 3630.
In the telecommunications sector, international carrier KDD Corp.
jumped 490 yen to 14,200. KDD was reported to be in talks with
Singapore Telecommunications Ltd. on a possible comprehensive tie-up
including cross share holdings. NTT (NTT: news, msgs) was unchanged
at 1,690,000 yen. NTT's global share offering this week was priced
Monday at 1,666,000 yen a share, a 2.0 percent discount. See full story.
Mobile phone unit NTT DoCoMo (NMCNY: news, msgs) rose 40,000
yen to 2,770,000.
Bank shares were mixed. Tuesday's volume leader Daiwa Bank added
climbed 18 yen to 509 on yesterday's news that it was in talks with
Sumitomo Trust and Banking to form Japan's biggest trust bank for
corporate pension assets next autumn.
Sumitomo Trust slipped 3 yen to 994. Sakura bank shed 11 yen to 866.
Dai-Ichi Kangyo Bank fell 1 yen to 1353. Bank of Tokyo-Mitsubishi
(MBK: news, msgs) added 25 yen to 1735.
In the steel industry, Kobe Steel (KBSTY: news, msgs) was unchanged at
77 yen despite the news that the police raided the company and arrested
a racketeer who extorted 30 million yen ($285,000) in illegal payoffs in
1997. NKK was also unchanged at 84 yen.
World markets Tuesday
U.S. shares took it on the chin Tuesday, with blue-chip issues especially
hard hit, as sellers invaded the market following the heady gains posted
over the past week.
European stocks advanced Tuesday as Microsoft shares proved resilient
in the face of the company's legal setback, and new takeover speculation
swirled around pharmaceutical issues.
Tokyo stocks rebounded and many other markets in the region were
higher Tuesday, as Asian investors found relief in the Nasdaq's rally to a
seventh straight record close, which signaled the Microsoft "flu" had no
contaminating influence on America's bull run.
U.S. markets Tuesday
The Dow Jones Industrial Average dropped 101.53 points, or 0.9
percent, to 10,617.32.
The Nasdaq Composite ended off its lows, shedding 19.00 points, or 0.6
percent, to 3,124.97, interrupting a seven-day winning streak. The index
posted lofty gains out of the chute but abruptly reversed course within the
first 30 minutes of trading. The Standard & Poor's 500 Index shed 0.9
percent. The Russell 2000 Index of small-capitalization stocks was up 0.3
percent. See U.S. Market Snapshot.
Looming supply kept the Treasury market under the gun Tuesday but
losses were limited as positive sentiment prevailed in the market on the
coattails of last week's hefty run-up.
The 30-year bond edged down 2/32 to yield 6.060 percent. The 10-year
shed 2/32 to yield 5.947 percent. The 5-year was off 1/32 to yield 5.883
percent. The 2-year was off 2/32 to yield 5.754 percent. The discount
rate on the 52-week bill was up 4 basis points at 5.17 percent. In the
futures pit, the December Treasury bond contract rose 1/32 at 114-16.
See bond Report.
Americas' markets and closing prices Tuesday
Argentina's Merval fell 2.520 points, or 0.43 percent, to 572.190;
Brazil's Bovespa declined 80 points, or 0.62 percent, to 12,880;
Chile's IPSA rose 0.91 points, or 0.71 percent to 130.52;
Mexico's IPC lost 76.580 points, or 1.29 percent, to 5867.380;
Peru's Lima General ended up 4.33 points, or 0.24 percent, to 1813.28;
Venezuela's IBC fell 32.69 points, or 0.58 percent, to 5570.98.
Canada's TSE 300 Composite rose 4.87 points, or 0.07 percent, to
7292.70.
Currencies
The German unemployment figures gave the euro a 0.2 percent boost to
$1.0402.
German unemployment fell 11,000 in October, with West Germany
recording a fall of 16,000 and East Germany rising by 5,000. Royal Bank
of Scotland's Parker said the data showed the European Central Bank
was correct to raise interest rates by half a point last week.
The dollar lost ground against the Japanese currency, settling down 0.2
percent to 104.88 yen. |
