Nikkei closed flat, giving up early gains

Japan’s Nikkei index gave up early gains to end Wednesday’s session little changed, as caution dominated the market ahead of a crucial Federal Reserve decision later in the day.

At the same time, the difference between the winning and losing stocks was significant, amid investors’ interaction with the local earnings reports.

The Nikkei index closed up 0.07 percent at 27,346.88 points, after rising 0.81 percent to 27,547.67 points earlier in the session, its highest level in a month and a half.

The broader Topix index fell 0.15 percent to 1,972.23 points, giving up early gains as well.

The two main Japanese stock indexes rose at the beginning of the session, tracking gains of more than 1 percent for each of the three main indices on Wall Street, after data showing a slowdown in the pace of rising labor costs in the United States fueled expectations that the Federal Reserve would slow down its monetary tightening policy.

Of the 225 stocks on the Nikkei index, 82 rose, while 137 fell and six remained unchanged.

Tokyo Gas topped the Nikkei index, rising 5.48 percent, followed by Screen Holdings, the chip maker, by 5.12 percent, then semiconductor maker Alps Alpine, by 5.06 percent, after announcing the financial results.

The top loser was Toto Housing Materials Manufacturing Company, which fell 8.37 percent.