Japanese shares end lower on caution over earnings

TOKYO, Oct 26 (Reuters) - Japanese shares edged lower on
Monday, as investors were on guard ahead of a slew of earnings
reports, while a surge in global coronavirus cases also weighed
on sentiment.
The benchmark Nikkei share average .N225 fell 0.09% to
23,494.34, while the broader Topix .TOPX declined 0.39% to
1,618.98.
Nearly two-thirds of the 33 sector sub-indexes on the Tokyo
exchange traded lower, with services .ISVCS.T , securities
brokerages .ISECU.T and other financials .IFINS.T leading
the declines on the main bourse.
Market participants said trades were somewhat subdued as the
market was in wait-and-see mode ahead of the U.S. presidential
election and earnings results.
Stocks due to release their corporate earnings results today
advanced. Canon Inc 7751.T rose more than 3%, Nitto Denko Corp
6988.T inched 0.68% higher and Nidec Corp 6594.T was up
0.38%.
Mounting worries about coronavirus cases also prevented
investors from taking huge positions.
The United States has seen its highest ever number of new
coronavirus cases in the past two days, while in Europe, France
registered record increase in infections over the weekend and
Spain announced a state of emergency. E-mini futures for the S&P 500 EScv1 dipped more than 0.7%
in late Asian trade amid U.S. coronavirus stimulus and
presidential election uncertainty, creating an extra headwind to
Japanese shares.
Electronic parts maker Murata Manufacturing 6981.T rose
2.12% after the company made upward revisions to its net profit
forecast for the six months ended Sept. 30. Other electrical component stocks followed suit, with Taiyo
Yuden 6976.T and TDK Corp 6762.T up 2.58% and 1.3%,
respectively.
Among decliners, ANA Holdings 9202.T lost nearly 1.1%
after media reports the airline operator plans to cut about
3,500 jobs in three years as it braced for its biggest-ever
annual loss. Elsewhere, the Mothers Index .MTHR of start-up firm shares
slipped 3.86% and marked four consecutive sessions of losses.