Japanese Market Notably Lower

(RTTNews) - Extending the losses in the previous two sessions, the Japanese market is notably lower on Friday, following the mixed cues from Wall Street overnight. The Nikkei 225 is falling to near the 37,500 level, with weakness across most sectors led by index heavyweights, automakers and technology stocks.

The benchmark Nikkei 225 Index is down 246.94 points or 0.65 percent to 37,508.57, after hitting a low of 37,497.90 earlier. Japanese shares ended significantly lower on Thursday.

Market heavyweight SoftBank Group is losing more than 1 percent and Uniqlo operator Fast Retailing is edging down 0.4 percent. Among automakers, Toyota is losing more than 2 percent and Honda is down more than 1 percent.

In the tech space, Advantest is declining more than 2 percent, while Tokyo Electron and Screen Holdings are losing almost 3 percent each.

In the banking sector, Sumitomo Mitsui Financial is losing more than 1 percent and Mizuho Financial is declining almost 2 percent, while Mitsubishi UFJ Financial is gaining more than 2 percent.

Among the major exporters, Sony is losing more than 3 percent and Canon is declining 1.5 percent, while Panasonic is edging up 0.3 percent and Mitsubishi Electric is gaining almost 3 percent.

Among other major losers, Japan Post is losing more than 4 percent, while Nisshin Seifun, Rakuten Group and J. Front Retailing are declining more than 3 percent each. Furukawa Electric, Recruit Holdings, BayCurrent, Renesas Electronics and Dai Nippon Printing are all down almost 3 percent each.

Conversely, CyberAgent is skyrocketing almost 15 percent, Credit Saison is soaring more than 12 percent and Oriental Land is gaining almost 3 percent.

In economic news, the Japanese economy contracted a seasonally adjusted 0.2 percent on quarter in the first quarter of 2025, the Cabinet Office said on Friday - missing expectations for a decline of 0.1 percent following the 0.6 percent gain in the three months prior. On an annualized basis, GDP was down 0.7 percent - again missing forecasts for a drop of 0.2 percent following the upwardly revised 2.4 percent increase in the previous quarter (originally 2.2 percent).

Capital expenditure was up 1.4 percent on quarter, exceeding expectations for an increase of 0.8 percent, which would have been unchanged from the preceding three months. External demand was down 0.8 percent on quarter, while private consumption was flat.

In the currency market, the U.S. dollar is trading in the lower 145 yen-range on Friday.

On Wall Street, stocks turned in another relatively lackluster performance during trading on Thursday after experiencing choppy trading during Wednesday's session. The major averages fluctuated over the course of the day before eventually closing mixed.

While the Nasdaq dipped 34.49 points or 0.2 percent to 19,112.32, the S&P 500 rose 24.35 points or 0.4 percent to 5,916.93 and the Dow climbed 271.69 points or 0.7 percent at 42,322.75.

Meanwhile, the major European markets moved to the upside on the day. While the German DAX Index advanced by 0.7 percent, the U.K.'s FTSE 100 Index climbed by 0.6 percent and the French CAC 40 Index rose by 0.2 percent.

Crude oil prices showed a substantial move to the downside on Thursday on reports the U.S. is very close to reaching a nuclear deal with Iran. Crude for June delivery plunged $1.53 or 2.4 percent to $61.62 a barrel.