TOKYO, Sept 15 (Reuters) - Japanese shares on Wednesday
retreated from three-decade peaks hit in the previous session,
as investors took profits after a strong rally over the last two
weeks and Chinese regulatory concerns dragged SoftBank Group
and property shares.
The Nikkei average dropped 0.52% to 30,511.71. On
Tuesday, it rose above its February peak to reach 30,795.78, the
highest level since August 1990.
In a sign of strong sentiment, however, the Nikkei posted a
"bullish candlestick", which appears when a market closes above
its opening level for 12 days in a row.
The broader Topix shed 1.06% to 2,096.39.
Japan's stock market rally has gathered pace since Sept. 3
when Prime Minister Yoshihide Suga announced his plan to step
down, bolstering hopes of a new stimulus package. Vaccine
Minister Taro Kono is now seen as a leading candidate in the
ruling Liberal Democratic Party's (LDP) leadership election on
"The market had risen a bit too much too fast ... Investors
now want to see the outcome of the LDP race. While Kono seems to
be viewed as a reformist, it is not entirely clear what kind of
economic policies he will adopt," said Naoya Oshikubo, senior
economist at Sumitomo Mitsui Trust Asset Management.
SoftBank Group lost 5.8%, weighed by concerns about
its exposure to Alibaba and other Chinese tech firms,
as Beijing steps up regulation in the sector.
Property builders were the worst-performing
subindex, with a fall of 2.2%. Some analysts attributed the
weakness to a spillover from troubles in Chinese real estate
Many Japanese suppliers of Apple slid after the
iPhone maker's shares dropped on Tuesday when it unveiled its
Murata Manufacturing lost 2.7%, while Nitto Denko
Elsewhere, Park24 slumped 7.9% after the parking
lots operator posted its sixth consecutive quarterly net loss,
hit by the COVID-19 pandemic.
(Reporting by Hideyuki Sano; editing by Uttaresh.V)