Japan Stocks end lower

Japan share market finished volatile session lower on Tuesday, 23 March 2021, after wiping out earlier gains, as a planned lockdown in Germany amid a resurgence of virus cases cast doubt on the region's nascent global economic recovery. Meanwhile, escalation of EU-China Tensions also weighed down sentiments.

At closing bell, the 225-issue Nikkei Stock Average declined 178.23 points, or 0.61%, to 28,995.92. The broader Topix index of all First Section issues on the Tokyo Stock Exchange dropped 18.70 points, or 0.94%, to 1,971.48.

Total 32 out of 33 industry category of Topix index ended into negative territory, with Air Transportation, Marine Transportation, Land Transportation, Banks, Iron & Steel, and Textiles & Apparels issues being notable losers.

The Tokyo market commenced trading with firm footing as investors bought back hard-hit shares after the benchmark Nikkei shed over 1,000 points over the past two trading days. But, the market failed to hold momentum as lacklustre performance in regional markets amid escalation of EU-China Tensions and the volatility of U.S. bond yields dampened risk appetite.

Chancellor Angela Merkel put Germany into hard lockdown over Easter to try to defuse another wave of infections. The move come amid signs that progress against the pandemic is stalling as global deaths and cases creep higher.

Turmoil in Turkish assets continued in the wake of the central bank chief's surprise dismissal over the weekend, with a drop in the main stock index triggering a circuit breaker.

Meanwhile, escalation of EU-China Tensions also weighed down sentiments. A coalition of western nations announced sanctions on Chinese officials for alleged human rights abuses against Uyghur Muslims. China immediately announced retaliatory sanctions against the EU that appeared broader.

CURRENCY NEWS: The Japanese yen traded at 108.74 per dollar, following an earlier high of 108.66 against the greenback.

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