Japan's Nikkei ends flat ahead of Fed meeting outcome

  • 12/15/2021
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Japan"s Nikkei ended flat on Wednesday in cautious trade ahead of a crucial policy decision by the U.S. Federal Reserve where the central bank is expected to signal a faster wind-down of its asset purchases. The Nikkei share average (.N225) was flat at 2,8459.72. The broader Topix index (.TOPX) ended the session 0.52% higher. Investors expect the U.S. Federal Open Market Committee (FOMC) to adopt a more hawkish tone at the conclusion of their two-day meeting later in the day, quickening the pace at which they taper bond-buying stimulus and potentially setting up earlier interest rate hikes. read more "Position adjustments before the FOMC are centerstage, and it"s not possible to discern a direction to the market amid that," said Hajime Sakai, the chief fund manager at Mito Securities Co in Tokyo. Toyota (7203.T) was the second-best performer among the 30 core Topix names, notching a 3.59% gain after Japan"s biggest automaker said it would commit about $70 billion to electrify its lineup by 2030. read more The announcement lifted shares of its group companies, with Toyota Tsusho (8015.T) and Denso (6902.T) jumping 5.83% and 4.24%, respectively. The transport equipment sub-index (.ITEQP.T) was the Topix"s best performing sector, adding 2.47%. Shinsei Bank (8303.T) rallied 7.75% to be the Nikkei"s top move after potential acquirer SBI Holdings (8473.T) said it was rescheduling a news conference by its chief due to an "emergency" without elaborating further. read more Recruit Holdings (6098.T) was the biggest percentage gainer among the Topix core 30 with a 4.16% jump. Sea transport"s (.ISHIP.T) 2.99% drop made it the worst-performing Topix sector by a wide margin. Shipper Kawasaki Kisen Kaisha (9107.T) was the biggest percentage decliner on the Nikkei, down 7.14%. Reporting by Tokyo markets team; Editing by Devika Syamnath Our Standards: The Thomson Reuters Trust Principles.

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