Nikkei snaps 7-day winning streak as host of stocks go ex-dividend
* About 155 points are cut by ex-dividend adjustment -
* Takeda soars after Daiwa raises rating
By Ayai Tomisawa
TOKYO, Sept 26 (Reuters) - Japan's Nikkei fell on Wednesday
morning, snapping a seven-day winning streak as high-yielders
such as automakers traded ex-dividend, while chip-related stocks
were hit by weakness in their U.S. peers overnight.
The Nikkei share average dropped 0.3 percent to
23,875.65 in midmorning trade, after gaining 5.9 percent since
About 155 points were cut from the Nikkei by the ex-dividend
price adjustment, according to market participants.
High-yielding stocks including automakers as well as banks and
securities firms underperformed.
Toyota Motor Corp fell 2.0 percent, Nissan Motor Co
tumbled 4.3 percent, Mizuho Financial Group
declined 2.8 percent, Sumitomo Mitsui Financial Group
shed 2.4 percent and Nomura Holdings slid 2.2 percent.
Analysts said that the market is focused on the outcome of a
scheduled summit between Japanese Prime Minister Shinzo Abe and
U.S. President Donald Trump on Wednesday in New York.
On Tuesday, the two countries reached a broad understanding
over how to promote bilateral trade and may announce specifics
on Wednesday, Economy Minister Toshimitsu Motegi was quoted as
saying after meeting U.S. Trade Representative Robert
Speaking to reporters in New York after his second round of
trade talks with Lighthizer, Motegi said he hoped to give more
details after the summit, Kyodo News reported.
Analysts say investors are not overly nervous about how the
summit will turn out, but they remain cautious.
"Trump has said provocative things to other countries, so
you never know. The market seems to be calm now but they haven't
turned on their risk stance yet," said Tetsuro Ii, the president
of Commons Asset Management.
Trump has made clear he is unhappy with Japan's $69 billion
trade surplus with the United States - nearly two-thirds of it
from auto exports - and wants a two-way agreement to address it.
Chip equipment maker Tokyo Electron slid 2.9
percent and silicon products maker Sumco Corp dropped
1.1 percent, after the Philadelphia semiconductor index
dropped 1.70 percent overnight.
Takeda Pharmaceutical bucked the weakness, rising
1.9 percent to a 4-1/2-month high of 4,849 yen after Daiwa
Securities raised its stock rating to 'outperform' from
'neutral' to price in the impact from its purchase of Shire PLC
, saying that despite increased shares outstanding, value
per share will be unchanged.
The broader Topix shed 0.7 percent to 1,810.42.
(Editing by Shri Navaratnam)
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