Tokyo stocks edge down on US-China worries

Tokyo, Aug 29 (AFP/APP):Tokyo stocks closed marginally lower Thursday as uncertainty surrounding US-China trade talks offset bargain-hunting.

The benchmark Nikkei 225 index fell 0.09 percent, or 18.49 points, to 20,460.93 while the broader Topix index inched down 0.01 percent, or 0.18 points, to 1,490.17.

Tokyo shares opened higher after Wall Street staged a late rally on Wednesday as the gloom lifted on a plunge in crude oil inventories, pointing to sustained demand for fuel, a sign of economic health.

But they fell into negative territory as investors remained worried about the US-China trade war and Britain’s exit from the European Union.

“People continued to buy on dips because many stocks are still undervalued,” said Naoki Fujiwara at Shinkin Asset Management.

“But continued concerns about the US-China trade dispute capped the buying sentiment,” Fujiwara told at AFP.

Investor fears of a no-deal Brexit have also increased as Britain’s government moved to suspend parliament.

The dollar was trading at 105.91 yen in Asian afternoon trade against 106.14 yen in New York on Wednesday.

Shares in Suzuki Motor jumped 1.54 percent to 4,148 yen after auto giant Toyota said it would take a nearly five-percent stake in the small-car specialist.

Toyota shares were up 0.01 percent at 6,890 yen.

Energy shares rose with oil explorer Inpex rising 0.21 percent to 899.9 with Japan Petroleum Exploration up 0.11 percent at 2,543 yen.

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