Weak chip shares continue to drag down Tokyo stocks

TOKYO, Oct. 17 (Xinhua) — Tokyo stocks continued to decline on Thursday as selling pressure on semiconductor-related stocks persisted due to concerns of sluggish demand.
Japan’s benchmark Nikkei stock index, the 225-issue Nikkei Stock Average, fell 0.69 percent, or 269.11 points, to close at 38,911.19.
This marks the first time the Nikkei has closed below the psychological threshold of 39,000 since Oct. 8.
The downturn was influenced by a significant drop in shares of ASML Holding, a Dutch semiconductor manufacturing equipment company, which fell sharply on the overnight U.S. stock market, leading to selling pressure on related stocks in Japan.
The Nikkei average began the day with a slight increase, buoyed by a weaker yen, which traded at around 149 yen to the dollar and sparked buying interest in export-related stocks.
But the index eventually gave back the gains to end lower, dragged down by the chip shares over concerns about slowing semiconductor demand and weakness in consumer electronics demand.
The broader Tokyo Stock Price Index also fell, closing 2.83 points, or 0.11 percent lower, at 2,687.83.
Of the listed stocks on the top-tier Prime Market, 1,026 fell, 559 gained, and 59 remained unchanged. ■