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Nikkei Retreats 223 Points as Profit-Taking and Stronger Yen Weigh

Fresh BOJ commentary kept the yen near ¥156 per dollar, reinforcing a more cautious tone.

Overview

  • Japan’s Nikkei 225 closed at 50,526.92, down 223.47, while the broader TOPIX edged up 3.46 to 3,426.52.
  • Morning trading saw the Nikkei fall more than ¥400 before losses narrowed into the close.
  • Selling followed declines in major U.S. indexes, with the Dow Jones Industrial Average later finishing down 249.04 points on Dec. 29.
  • After a recent run-up, investors locked in gains and pressure was heaviest on high-valuation shares such as semiconductors.
  • The yen traded around ¥156.07–¥156.09 per dollar in Tokyo as BOJ “main opinions” were read as supportive of further rate hikes, with intervention concerns capping moves.