Excerpt from: Stock Indices CFDs and Spread Bets
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| January 31, 2007 | | Nikkei 225 and Topix stock indices decline | Spread bets and CFDs on Japanese stocks should short today, as both major stock indices in Japan, the Nikkei 225 and the Topix, are both in decline. Japanese stocks are down on the prospect that the yen will halt its decline on the FX market. Bloomberg reports:
Japanese stocks fell, paced by
exporters such as Toyota Motor Corp. and Sony Corp., on
speculation that European finance ministers will seek to halt a
slide in the yen against the euro that has boosted earnings.
Exporters' ``earnings are benefiting quite a lot from a weak
yen, so if that situation changes, expectations for the companies
will decline,'' said Hiroshi Chano, who helps look after $7.3
billion at Yasuda Asset Management Co. in Tokyo.
Companies such as Honda Motor Co. that rely on U.S. sales
also fell on concern a comment by the Federal Reserve later today
may damp investor expectation that the central bank will cut
interest rates within the first half of this year.
The Nikkei 225 Stock Average fell 106.77, or 0.6 percent, to
17,383.42. The broader Topix index dropped 9.64, or 0.6 percent,
to 1721.96. A measure tracking automakers was the biggest
contributor to the index's decline. | | |
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