TOKYO: The Japanese stock market is extending losses on Monday from the previous session as investors mulled the prospects of an interest rate hike by the Federal Reserve later this month as well as slower economic growth in China. In addition, the yen strengthened following news that North Korea fired three ballistic missiles into Japan’s exclusive economic zone. In late-morning trades, the benchmark Nikkei 225 Index is losing 103.34 points or 0.53 percent to 19,365.83, off a low of 19,340.32 earlier.
Automaker Toyota is declining 0.4 percent and Honda is lower by 0.3 percent. In the banking sector, Mitsubishi UFJ Financial is down 0.4 percent and Sumitomo Mitsui Financial is down more than 2 percent. In the oil space, Inpex is rising almost 0.2 percent and JX Holdings is advancing almost 2 percent after crude oil prices rose. Among the other major gainers, GS Yuasa is rising almost 3 percent and Kobe Steel is gaining more than 2 percent. On the flip side, Isetan Mitsukoshi is losing almost 6 percent after the Nikkei business daily reported that the department store operator’s President Hiroshi Onishi is expected to resign on March 31. Yamato Holdings is down more than 5 percent and Sumco Corp. is down 4 percent. In the currency market, the U.S. dollar traded in the upper 113 yen-range on Monday. On Wall Street, stocks closed slightly higher on Friday following a highly anticipated speech from Federal Reserve Chair Janet Yellen that reinforced expectations the Fed will raise interest rates at its next meeting later this month.
The Dow inched up 2.74 points or less than a tenth of a percent to 21,005.71, the Nasdaq edged up 9.53 points or 0.2 percent to 5,870.75 and the S&P 500 crept up 1.20 points or 0.1 percent to 2,383.12. The major European markets turned in a mixed performance on Friday. While the French CAC 40 Index advanced by 0.6 percent, the U.K.’s FTSE 100 Index edged down by 0.1 percent and the German DAX Index fell by 0.3 percent. Crude oil prices rose Friday, snapping back from mid-week losses despite data showing the U.S. oil rig count jumped to the highest in 17 months. WTI oil for April ended at $53.33 a barrel on the New York Mercantile Exchange, up $0.72 cents, or 1.4 percent.
