Headline shares of the Japan share market were steep lower on Thursday, 05 July 2018, as investors risk aversion selloff triggered amid a looming deadline for Washington's proposed tariffs on Chinese imports. Meanwhile, yen appreciation against greenback intensified selloff. All TSE33 issues declined, with shares of Oil & Coal Products, Nonferrous Metals, Retail Trade, Rubber Products, Electric Appliances, Securities & Commodities Futures, Banks, Iron & Steel, and Marine Transportation issues being notabe losers. Around late afternoon, the benchmark Nikkei 225 index dropped 1%, or 211.23 points, to 21,505.81. The broader Topix index of all First Section issues on the Tokyo Stock Exchange, meanwhile, declined 1.1%, or 17.97 points, to 1,675.28.
Market participants were concerns over the negative implications of the US trade war with rest of the world. A trade war between the US and the rest of the world may lead to a global financial crisis. The United States is due to impose the tariffs on Chinese exports on July 6. The US also imposed tariffs on cars from Europe. Although Japan has not been on the receiving end of U.S tariffs, a global trade war could be devastating for the Japanese economy, which is heavily dependent on its export sector.
Powered by Capital Market - Live News
Disclaimer: No Business Standard Journalist was involved in creation of this content
