Tokyo shares gained early Tuesday, ending the morning up 1.33 percent before a monetary policy decision from the Bank of Japan, while investors are also waiting to see if the United States will raise rates this week.
Japanese stocks opened higher but lost much of those gains after the Bank of Japan made a decision to stand pat on its current easing program.
As the yen strengthened against the dollar, export-oriented names met with selling, brokers said.
A man looks at an electronic stock board of a securities firm in Tokyo, Monday, August 24, 2015. There have been expectations for additional easing in recent sessions because of slow inflation and signs of weakness in the economy.
Investors have been kept on edge by worries over the growth of China’s economy -the world’s second-largest and a key trade partner for Japan – ahead of the United States central bank interest rate decision on September 17.
The official added that the market was basically capped by a prevailing wait-and-see mood ahead of the Fed meeting later this week. Uncertainty over the timing of the United States rate increase, coupled with concerns over China’s slowdown, have caused gyrations in global markets.
Rising issues outnumbered falling ones 924 to 850 on the TSE’s first section, while 123 issues were unchanged. Shares of the company are edging down less than 0.1 percent.
Automakers Nissan and Toyota, tire producer Bridgestone, and industrial robot producer Fanuc were buoyant, along with electronics manufacturer Panasonic and air conditioner producer Daikin.
The Nikkei fell 0.1 per cent to 18,241.62 in midmorning trade.
