Tokyo stocks moved lower for a second consecutive session on Wednesday as investors remained unsure about Japan’s economic prospects, although oil producer Inpex surged on its market debut.
The Nikkei 225 average closed down 0.3 per cent at 11,131.29 while the Topix index was off 0.5 per cent at 1,114.61.
The lacklustre performance suggested continued uncertainty among investors over the path of Japan’s economy, the day after the cabinet office downgraded its economic assessment for the first time in 17 months.
Shares rallied strongly for two days on both sides of the weekend on hopes that Japan might have come through the worst of its slowdown, but then lost momentum.
Inpex, a state-controlled oil explorer, surged 18 per cent to Y549,000 on its first day of trading, easing concern that the market was buckling amid a glut of new share issues.
NTT, Japan’s dominant telecoms operator, rose 2.4 per cent to Y477,000 after Goldman Sachs raised its rating on the group to outperform on Tuesday.
Following weeks of dramatic losses, Seibu Railway rose 29.9 per cent to Y342 after the group, set to be delisted from the Tokyo stock exchange for reporting false shareholder data, said it would relist on the separate Jasdaq market.