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Nikkei retreats as China virus spreads, energy-linked firms sag

Published 23/01/2020, 03:37
© Reuters.  Nikkei retreats as China virus spreads, energy-linked firms sag
JP225
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TER
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TOPX
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6857
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6146
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6594
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IMING.T
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IPETE.T
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ISHIP.T
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TOKYO, Jan 23 (Reuters) - Tokyo shares dropped on Thursday,

led by energy-related and cyclical stocks, as investors remained

anxious about the spread of a new flu-like virus in China and

awaited Japanese corporate earnings.

The Nikkei share average .N225 dropped 0.5% to 23,901.72

in mid-morning trade, giving up nearly all the gains made in the

previous session, while the broader Topix .TOPX fell 0.4% to

1,736.65.

A broad range of shares fell, with all but one of the Tokyo

Stock Exchange's 33 industry subindexes in negative territory.

Traders said a sharp slide in commodity prices, partly due

to worries about China's virus outbreak, weighed on

commodity-related and cyclical stocks. O/R MET/L

Deaths from China's new coronavirus rose to 17 on Wednesday,

with nearly 600 cases confirmed. The outbreak has evoked

memories of Severe Acute Respiratory Syndrome (SARS) in

2002-2003, another coronavirus which broke out in China and

killed nearly 800 people in a global pandemic. Among the Tokyo bourse's subsectors, sea transport

.ISHIP.T , mining .IMING.T and oil and coal products

.IPETE.T were the worst performing subindexes, declining by

2.0%, 1.9% and 1.8%, respectively.

Bucking the overall weak trend, semiconductor automated test

equipment (ATE) maker Advantest 6857.T jumped 4.1% after its

U.S. competitor Teradyne's TER.O fourth quarter earnings beat

estimates. In Japan, Nidec Corp 6594.T and Disco Corp 6146.T are

due to announce their financial results for the October-December

quarter later on Thursday.

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