FX.co ★ Japanese Shares Mixed Amid Wall Street Weakness

On Wednesday, the Nikkei 225 edged down by 0.1% to approximately 40,510, contrasting with the broader Topix Index, which climbed by 0.6% to 2,955. This mixed outcome in Japanese equities followed a selloff in Wall Street, reflecting a variety of influences on market sentiment. Investors were impacted by weak US economic indicators, which reignited worries about stagflation, and the potential for new trade tensions, as President Donald Trump proposed imposing tariffs up to 250% on pharmaceutical imports and contemplated duties on semiconductors. Domestically, Japan's data indicated a sixth consecutive month of declining real wages in June, as inflation continued to surpass wage growth, fuelling concerns over consumer expenditure. Within the market, technology shares faced difficulties, with notable declines from companies like Disco (-2.8%), Tokyo Electron (-3.2%), and Advantest (-1.5%). Conversely, Mitsubishi Heavy experienced a significant uptick of 3.3%, Tokyo Electric advanced by 3.2%, and IHI Corp rose by 1.4%.