Japanese stock markets closed lower on Wednesday, influenced by high crude oil prices and weaker-than-expected earnings from ASML Holding, a Dutch semiconductor equipment company. The Nikkei 225 index fell by 33.23 points, or 0.05%, to end at 67,744.29, while the broader Topix index dropped 13.89 points, or 0.34%, to 4,096.78. Sectors such as banking, securities, and precision instruments witnessed notable declines.
Investor sentiment was pressured as US West Texas Intermediate crude oil futures remained above $90 per barrel, amid ongoing concerns regarding energy supplies due to geopolitical tensions in the Middle East and the ongoing Russia-Ukraine conflict. Despite these pressures, there was some buying interest in major technology stocks after their recent declines, which helped to mitigate overall market losses.
The market’s initial rise was curtailed when ASML’s quarterly earnings report failed to meet investor expectations, further dampening sentiment within the technology sector. This added to the cautious mood, as investors awaited the release of US consumer price index data for September, which is anticipated to influence expectations for future Federal Reserve monetary policy decisions.
In currency markets, the US dollar traded around 158.34 yen in Tokyo. Meanwhile, Japan’s benchmark 10-year government bond yield slightly decreased to 2.995% following steady demand at a five-year government bond auction.
Overall, the Japanese market’s performance reflected a blend of global economic concerns and domestic responses, highlighting the ongoing volatility and uncertainty in global financial markets.