Japanese Shares Decline on Rate Hike Signals from BOJ
Japanese shares declined on Wednesday after a Bank of Japan board member suggested interest rates might continue to rise if inflation meets forecasts.
The Nikkei 225 dropped 1.49%, or 539.39 points, to 35,619.77.
BOJ board member Junko Nakagawa said the timing of future rate hikes will depend on the impact those increases will have on the economy.
The central bank is set to review market effects following July's rate increase, which has strengthened the yen and influenced global markets.
Nakagawa also highlighted risks to Japan's price outlook due to a tight job market and rising import costs.
In economic data, Japan's machine tool orders fell 10.6% from July to 110.77 billion yen in August and were down 3.5% year-on-year.
Domestic orders decreased 9.8% month-on-month and 9.9% year-on-year to 32.19 billion yen. Foreign orders dropped 10.9% from July but were only 0.6% lower compared with August last year, totaling 78.58 billion yen.
In corporate updates, Metaplanet (TYO:3350) saw its shares rise over 7% after acquiring 38.464 bitcoins for 300 million yen, averaging 7.8 million yen per bitcoin.
LaSalle LOGIPORT REIT (TYO:3466) completed the sale of a 12.5% stake in the LOGIPORT NagareyamaB property for 4.38 billion yen, finalizing a total 37.5% sale for 13.13 billion yen.
Treasure Factory (TYO:3093) reported a 16.4% increase in net sales for August, with existing store sales up 5.3% year-on-year, driven by strong demand for summer apparel, household items, and sports products.
Source : MT Newswires
