4:30 PM Tokyo – Tokyo stocks declined after a 3-week rally and the yen advanced on the rising prospects of a U.S. airstrike in Iraq. Fighting intensified in Iraq and the oil prices extended gains for the third week in a row.
Stocks in Tokyo closed lower and rising tensions in Iraq lifted the yen and stocks in technology and automakers led the decliners.
The Nikkei 225 Stock Average slipped 164.55 or 1.1% to 14,933.29 and the broader Topix index fell 9.29 to 1,234.68. The Topix had rebounded 7.4% in the last three weeks, but the index is still the worst performer among developed market indexes in the year so far.
The yen rose and close at 101.74 against one U.S. dollar.
Investors focused on the worsening violence and the prospect of a U.S. air strike rose as violence intensified between the rebels and Iraqi army.
The army is said to have killed 250 rebels but the insurgent group is still in control of the second largest city in the nation and may disrupt oil supplies.
Stocks in Review
Ichigo Real Estate Investment Corporation
closed unchanged at 57,200 yen after the residential real estate developer said net sales in the year ending in April rose 1.4% to 4.64 billion yen from 4.57 billion yen a year ago.
Net income in the year declined 12.3% to 1.31 billion yen compared to 1.49 billion yen and earnings per share dropped to 1,295 yen from 1,619 yen a year earlier.
Kobe Bussan Co Ltd
declined 3.9% to 2,969 yen after the food ingredients retailer said net sales in the first-half ending in April climbed 107.3% to 15.75 billion while profit in the period tumbled 44% to 652 million yen from a year earlier.
ORIX JREIT Inc
closed unchanged at 109,900 yen after the real estate investment trust plans to take additional debt loan of 7.1 billion yen on June 20, to repay the 5.1 billion yen in long-term loan and 2 billion yen to acquire the “Sendai Harvest Bldg” on June 20.
Takashimaya Company, Limited
slumped 1.8% to 959 yen after the department store operator said sales in May plunged 8.4% and sales at four regional stores of Okayama, Gifu, Yonago and Takasaki declined 7.9%.
The retailer added sales from corporate business segment plummeted 17.9% and revenues from the cross-media business tumbled 36%.
Top REIT, Inc
closed unchanged at 434,500 yen after the real estate investment company revenue in the first-half ending in April jumped 9.4% to 5.64 billion from 5.15 billion yen a year ago period.
Net income in the period soared 21.2% to 1.91 billion compared to 1.58 billion yen and earnings per share increased to 11,056 yen from 10,191 yen a year earlier.