Nikkei sags as China slowdown stokes concern over earnings
News On Japan via Reuters -- Oct 09
Japan's Nikkei share average fell the most in eight sessions on Tuesday on concern that companies will slash profit forecasts further following a World Bank warning that the slowdown in key trading partner China may be more protracted than thought.
Mobile operator Softbank Corp (9984.T) was in focus after the Nikkei business daily said rival KDDI Corp (9433.T) had beaten its subscriber figures for the iPhone 5. The stock slid 1.2 percent and was the most traded on the main board by turnover.
Automakers were weak with Suzuki Motor Corp (7269.T) losing 2.1 percent after the company said its Chinese sales sank 42.5 percent in September from a year earlier after a territorial dispute triggered boycotts of Japanese goods.
"There is a big downside for the market in the shape of China, which is pulling the Japanese market away from its correlation with the U.S. market," said Norihiro Fujito, general manager of investment at Mitsubishi UFJ Morgan Stanley.
Japanese companies have been issuing profit warnings as their sales take a hit from the boycott and closure of stores and factories, as well as a double whammy of dwindling demand across China. The World Bank cut its growth forecast for China to 7.7 percent from a May forecast of 8.2 percent on Monday.
The government of Japan has bestowed one of that nation's highest honors on a Japanese-American, a former U.S. Soldier and World War II veteran, for his work furthering relationships between the Japanese and Americans. (army.mil )
This Monday, members of the seminal metal band X Japan were in Odaiba rubbing shoulders with the likes of Brad Pitt, Lady Gaga and AKB48′s Yuko Oshima. The catch? They were all made out of wax. (Japan Times )
The parents of a nightclub worker killed in an arson fire three years ago filed a suit in the Nagoya District Court on Monday seeking damages against top members of the Yamaguchi-gumi organized crime group. (Tokyo Reporter )