Japan’s Nikkei falls from record as tech shares retreat; Topix rises

The benchmark Nikkei 225 Index fell 0.4% to close at 54,110.50, snapping a three-day rise that took ‌the gauge ‌to an all-time high on Wednesday. The broader Topix climbed 0.7% to set a new all-time ‌closing high of 3,668.98.

U.S. stocks finished lower overnight, led by a drop in the tech-heavy Nasdaq gauge.

The yen recovered from a 1-1/2-year low after fresh warnings from Finance Minister Satsuki Katayama against “excessive” moves and a U.S. Treasury statement calling for “sound” policy from the Bank of Japan to contend with currency volatility.

The Japanese market mirrored ‌a trend ‍seen on Wall Street where technology shares dragged down ‍an otherwise buoyant market, while the currency effect added ‌to headwinds for major domestic companies, said Wataru Akiyama, an equities strategist at Nomura Securities.

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“The resilient U.S. economy and expectations of continued Fed rate cuts provided some support to sectors other than technology,” Akiyama said. “Export-related stocks are broadly lower due to recent yen appreciation.”
There were 144 advancers on the Nikkei index against 77 decliners. ‍The biggest losers in the index were software services provider Shift, down 8.5%, followed by artificial intelligence sector heavyweight ‍SoftBank Group , which ⁠sank 4.9%. The largest ⁠gainers in the index were retailer Ryohin Keikaku, up 11.8%, followed by consulting services provider BayCurrent, which jumped 6.4%.

In the broader market, Toyota Industries surged 6.2% to a record closing high after Toyota Motor agreed to raise its offer to take the forklift maker private. Toyota Motor rose 2.5%.

Saizeriya jumped 5.2% to a closing level peak after the Italian restaurant chain reported record profit for the September-November quarter.