Tue, 21 Sep 2021

TOKYO, July 28 (Xinhua) -- Tokyo stocks closed largely lower Wednesday as concerns rose over the country's economic recovery outlook after the Japanese capital marked a record number of COVID-19 infection cases the earlier day, local media reported Wednesday.

The 225-issue Nikkei Stock Average finished down 388.56 points, or 1.39 percent, from Tuesday at 27,581.66.

The broader Topix index of all First Section issues on the Tokyo Stock Exchange ended 18.39 points, or 0.95 percent, lower at 1,919.65.

Declining issues were led by metal product, information and communication, and service issues.

Stocks were lower throughout the day, tracking overnight losses on Wall Street and snapping a three-day increasing tendency following 2,848 COVID-19 infections reported in Tokyo on Tuesday, the highest since the 2,520 recorded on Jan. 7.

The rise in figures came as some health experts believe Tokyo, currently under a COVID-19 state of emergency, is in the midst of a fifth wave of the pandemic.

The market expanded its losses in the afternoon, depressed by a remained fall in the Chinese markets due to a crackdown on tech firms by Chinese authorities, brokers said.

"Some investors viewed yesterday's record high as an indication of a further surge in COVID-19 infections in the capital," said Shingo Ide, chief equity strategist at the NLI Research Institute, adding that a drop in U.S. stocks futures was also bringing sentiment down.

Meanwhile, market participants are expecting U.S. Federal Reserve Chairman Jerome Powell's comments as the Fed's two-day policy meeting ended later in the day to confirm the timing of incentive narrowing and interest rate goes up, Ide added.

On the First Section, decliners outnumbered advancers 1,679 to 422, while 89 finished unchanged.

Shares in railways and department stores dropped as a result of the capital's record figure of infections.

Odakyu Electric Railway fell 1.7 percent, Central Japan Railway declined 1.8 percent, and Takashimaya dropped 1.8 percent.

Going against the downward trend, Mitsubishi Motors soard 8.4 percent, after the automobile manufacturer reported Tuesday an optimistic earnings report for its April-June quarter and amended upward its earnings outlook for the business year through March 2022.

Trading volume on the main section increased to 1,037.88 million shares from Tuesday's 938.97 million shares.

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