Japan’s Nikkei share average dips
- 25 Dec 2019
Japan’s Nikkei share average dipped in holiday driven trade on Wednesday, while Nissan hit an eight-year low after a top executive tasked with leading a recovery at the troubled automaker abruptly resigned just weeks into his new job.
The Nikkei share average ticked down 0.20% to 23,782.87 while the broader Topix lost 0.39% to 1,721.42, with 34 shares declining for every 10 gainers.
While the Nikkei was not far from a 14-month high of 24,091 hit last week, its rally on the back of optimism on the global economic outlook and U.S.-China trade negotiations has petered out with many players away for holidays.
The dearth of big macroeconomic events prompted traders to focus on shares that had some news.
Nissan Motor fell 3.1% to a low last seen in September 2011 after Jun Seki, its vice chief operating officer and a former contender for CEO, said he was leaving the firm to become the president of Nidec Corporation.
His decision is seen as a potential blow to the automaker’s push to turn the corner on a scandal involving ousted former Chairman Carlos Ghosn and slumping sales. Nidec shares gained 0.3%.
Shimamura tumbled 7.6% after the clothing retailer cut its profit estimates for the year to February by about 25%, citing weak sales.
Sugi Holdings lost 6.5% after the drugstore chain operator’s quarterly earnings fell short of strong market expectations.
Japan Post Insurance dropped 1.1% and its parent Japan Post Holdings ticked down 0.7% amid media report that the CEO of Japan Post Holdings and two top executives at Japan Post Insurance will resign this week over the improper sales of insurance policies.
Reuters
