Nikkei Index Falls on Profit-Taking But Makes weekly Gains

Japan’s Nikkei index fell on Friday, as the pre-weekend profit-taking sell-off outperformed optimism about a general economic recovery, but the index gained for the third week in a row.

The Nikkei fell 0.72% to 30,017.92 points, further moving away from its 30-year-and-a-half high of 30,714.52 points it touched on Monday. But the index managed to finish the week, up 1.69%.

The broader Topix index fell 0.67% to 1,928.95 points and fell 0.25% for the week.

Fast Retailer, the Nikkei’s highest weight, fell 2.4%, erasing early gains as investors sold the stock to take profits, after rising nearly 10% this week.

Online brokerage Monex plunged 10.4% after rising to more than a double since the start of the month by Thursday.

Some travel companies’ shares also declined, after gains made earlier this week after the start of a COVID-19 vaccination campaign in Japan.

ANA Holdings was down 3.9%, while Japan Airlines was down 3.7%. Central Japan Railways lost 3.7%.

But some tech companies bucked the trend, with condensate maker Taiyo Yuden gaining 3.4%.

Toyota Buschoco shares rose 1.7% after the company said that Toyota Motor had sold part of its stake in the company, in a move aimed at increasing the free float shares and enabling the company to be listed in the upper class of the Tokyo Stock Exchange in a general amendment in 2022.