Foreigners stepped up selling in Japanese stocks in week ending Aug 9

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Aug 16 (Reuters) – Foreigners were net sellers of Japanese stocks for a second straight week in the week ended Aug. 9 on renewed worries over the Sino-U.S. trade war, after the announcement of fresh U.S. tariffs on China at the start of this month.

Overseas investors sold a net 1.18 trillion yen ($11.12 billion) of Japanese stocks, including cash equities and futures that week, marking their biggest net selling since the week of Oct 22-26, 2018, data from Japanese stock exchanges showed.

They sold a net 994.7 billion yen in derivative markets and about 188.2 billion yen in cash markets, the data showed.

Last week, Washington accused Beijing of manipulating its currency after China let the yuan drop to its lowest point in more than a decade. China’s move was seen as a response to the U.S. announcement of fresh tariffs on remaining Chinese imports, earlier this month.

In the week ended Aug. 9, major Japanese equities indexes – the Nikkei index and the Topix index – both shed about 2%.

Shares of Japanese exporters such as Honda Motor Co , Mitsubishi Electric Corp, Canon Inc were also hit as the yen strengthened due to its safe-haven appeal, last week.

On the other hand, Japanese investors purchased 62 billion yen worth of overseas equities in the last week, their third straight week of net purchase, data from the Ministry of Finance showed. ($1 = 106.0900 yen)

Reporting by Gaurav Dogra and Patturaja Murugaboopathy; editing by Gopakumar Warrier