Markets

Tokyo Stocks Fall Further as U.S. Recession Fears Grow

Yomiuri Shimbun file photo
Tokyo Stock Exchange

Jiji Press

17:01 JST, April 6, 2023

TOKYO (Jiji Press) — Tokyo stocks sank deeper Thursday, as sentiment was worsened by fresh signs of the U.S. economy being headed for a recession.

The Nikkei average of 225 selected issues listed on the Tokyo Stock Exchange’s Prime Section fell 340.63 points to finish at 27,472.63, after tumbling 474.16 points Wednesday.

The broader TOPIX index ended 22.56 points, or 1.14%, lower to end at 1,961.28, following a 38.92-point drop the previous day.

Investors dumped cyclicals in view of weak U.S. economic indicators released overnight, including Automatic Data Processing Inc.’s employment report for March, which showed a far smaller-than-expected rise in nonfarm payrolls.

Exporters, such as automakers, also suffered sell-offs due to the yen’s further strengthening against the dollar.