Roundup: Tokyo stocks close sharply lower on renewed trade concerns

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TOKYO, Dec. 10 (Xinhua) -- Tokyo stocks closed sharply lower Monday, with the benchmark Nikkei stock index ending at its lowest closing level in over one month as having picked up a poor lead from Wall Street late last weak.

The 225-issue Nikkei Stock Average dropped 459.18 points, or 2.12 percent, from Friday to close the day at 21,219.50.

The broader Topix index of all First Section issues on the Tokyo Stock Exchange, meanwhile, closed 30.64 points, or 1.89 percent, lower at 1,589.81.

Local brokers said that investors were finding it hard to search out positive cues after Wall Street's losses at the end of last week, although prior to that there had been incentives.

"The market saw positive catalysts a few weeks ago such as receding U.S.-Sino trade tensions and easing worries about rising U.S. yields, but stocks are still falling, so investors don't know what hope they should hold onto," Shogo Maekawa, global market strategist at JPMorgan Asset Management, was quoted as saying.

Market analysts here highlighted the contention that the remark was meant to be interpreted as meaning there was a "hard deadline" to the talks.

"Speculation grew that the trade rift between the two countries will continue for a while," Yutaka Miura, senior technical analyst at Mizuho Securities Co., was quoted as saying.

Analysts also highlighted the fact that the mood turned risk-off from the start with revised data showing the Japanese economy contracted at an annual rate of 2.5 percent in the three months through September, compared with a contraction of 1.2 percent in a preliminary report.

The Chinese consumer price index for November released over the weekend coming in subpar, did little to lift sentiment and added to concerns about the outlook for he world's second-largest economy, market analysts here said.

By the close of play, air transportation, service, and food-oriented issues comprised those that declined the most, and falling issues beat rising ones by 1,951 to 149, while 22 ended the day unchanged.

Komatsu dropped 5.2 percent to 2,615 yen while Hitachi Construction Machinery fell 4.1 percent to finish at 2,706 yen.

Pioneer Corp tumbled 27 percent following news on Friday that it will be bought by Baring Private Equity and be de-listed.

Japan Display plunged 10.6 percent after the Nikkei business daily reported that the company is slashing production of smartphone liquid crystal displays in the month of December.

SoftBank Group fell 3.5 percent, at 8,616 yen as concerns for the Nikkei heavyweight remain among investors regarding the unfolding situation at Huawei Technologies Co. and SoftBank's partnership with the firm to develop next-generation 5G mobile communications networks.

On the main section on Monday, 1,383.09 million shares exchanged hands, increasing from Friday's volume of 1,371.89 million shares.

The turnover on the first trading day of the week came to 2,270.4 billion yen (20.14 billion U.S. dollars). Enditem

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