Japanese Stocks Close Lower Due to Increased Cases of Coronavirus

Japan’s Nikkei fell on Thursday after a jump in COVID-19 cases prompted sell-offs in retail and other service providers, and technology shares fell.

The Japanese Nikkei index closed down 0.96 percent to record 28,489.13 points, while the broader Topix index fell 0.68 percent.

Japan recorded a rise in new cases of COVID-19 on Wednesday, with infections reaching their highest levels in four months in major metropolitan areas of Tokyo and Osaka, with the spread of the mutated Omicron of the Coronavirus. Chief Cabinet Secretary Hirokazu Matsuno said the country “must prepare for the continued rapid spread of infection.”

Aeon RetailCo. and Toho Cinemas Inc. were among the top losers on the Nikkei, down 5.70 percent and 5.50 percent, respectively. Shares of Fast Retailer, operator of clothing chain Uniqlo, fell 1.92 percent.

The technology sector declined even though it started the day in positive territory. Shares of Yaskawa, a producer of electrical equipment, fell 6.29 percent, to be the biggest loser on the Nikkei in percentage terms today. Olympus shares fell 4.99 percent.