Nikkei closes lower after 3 days of gains

The Japanese Nikkei index ended Thursday’s trading lower after three days of gains, as cautious investors focused on the outlook for specific stocks as earnings season reached its climax.

The Nikkei index closed down 0.32 percent at 27,345.24 points. The index recorded positive readings at times in the morning session, before paring gains later.

The broader Topix index fell 0.66%.

Canon shares were the biggest loser over the Nikkei, which fell 6.22 percent after adjusting its net profit forecast downward.

As for Hitachi Construction Equipment, the biggest gainer was the Nikkei, which rose 4.71 percent after its earnings report. The company now expects its operating profit for the fiscal year to be 17.6 percent higher than previous forecasts.

The Bank of Japan is holding its latest policy review meeting Thursday and Friday this week, but most observers say it is unlikely to bring any change to its ultra-accommodative monetary policy.

Among the 225 stocks on the Nikkei index, 164 declined and 54 rose, while seven stocks stabilized.