FX.co ★ Japanese Shares Flat Amid Weak GDP Data

The Nikkei 225 Index concluded the session nearly unchanged at 37,754, while the broader Topix Index edged up slightly by 0.05% to 2,741 on Friday. Japanese equities faced challenges in gaining momentum due to weak economic indicators impacting investor sentiment. Heightened caution was evident after Japan's economy contracted by 0.2% on a quarter-on-quarter basis in the first quarter, representing its first decline in a year and missing anticipated expectations of a 0.1% decrease. This data amplified concerns already highlighted by the Bank of Japan earlier in the week, which warned of potential economic slowdown influenced by pressures from U.S. trade policies. The Japanese markets also echoed the losses in U.S. technology stocks, where an overnight profit-taking hit was observed. Consequently, local tech companies experienced a downturn, with Disco and Advantest shares falling by 1.9%, and Tokyo Electron declining by 2.8%. Nonetheless, certain non-tech stocks offered some buoyancy: Mitsubishi UFJ saw a 0.9% increase, Mitsubishi Heavy advanced by 3.1%, while Sanrio experienced a substantial surge of 7.4%.