(RTTNews) - The Japanese stock market has finished lower in two straight sessions, tumbling more than 1,800 points or 2.6 percent along the way. The Nikkei 225 sits just beneath the 66,600-point plateau and it's expected to open in the red again on Monday.
The global forecast for the Asian markets is broadly negative with heavy pressure likely among technology companies. The European and U.S. markets were down and the Asian bourses are expected to follow that lead.
The Nikkei finished sharply lower on Friday following mixed performances from the technology stocks and automobile producers, while the financial sector was strong.
For the day, the index dropped 882.57 points or 1.31 percent to finish at 66,588.12 after trading between 65,862.21 and 67,115.00. Among the actives, Nissan Motor retreated 1.61 percent, while Mazda Motor rose 0.27 percent, Toyota Motor added 0.41 percent, Honda Motor crashed 3.99 percent, Softbank Group collected 0.66 percent, Mitsubishi UFJ Financial vaulted 1.58 percent, Mizuho Financial advanced 0.93 percent, Sumitomo Mitsui Financial jumped 1.65 percent, Mitsubishi Electric climbed 1.04 percent, Sony Group gained 0.54 percent, Panasonic Holdings slumped 1.21 percent and Hitachi rallied 2.26 percent.
The lead from Wall Street is brutal as the major averages opened lower on Friday and accelerated deeper into the red throughout the day, ending at session lows.
The Dow plunged 695.15 points or 1.35 percent to finish at 50,866.78, while the NASDAQ cratered 1,121.53 points or 4.18 percent to close at 25,709.43 and the S&P 500 tumbled 200.57 points or 2.64 percent to end at 7,383.74.
For the week, the NASDAQ plummeted 4.7 percent, the S&P 500 dove 2.9 percent and the Dow dipped 0.3 percent.
The sell-off on Wall Street came as technology stocks remained under pressure amid concerns about valuations.
Profit taking also contributed to the substantial weakness following recent strength in the markets, which lifted them to record closing highs.
A sharp increase by treasury yields also weighed on Wall Street, with yields surging following the release of stronger than expected U.S. jobs data.
Crude oil prices slumped on Friday on optimism that the Strait of Hormuz may re-open in the coming days. West Texas Intermediate crude for July delivery was down $2.97 or 2.97 percent at $90.07 per barrel.
Closer to home, Japan will release Q1 numbers for gross domestic product this morning. In the previous three months, GDP was up 0.5 percent on quarter and 2.1 percent on year.
Japan also will see April figures for current account and May data for bank lending and the eco watchers index. In March, the current account surplus was 390.06 trillion yen, while bank lending was up 5.4 percent on year in April. The eco watchers survey for current conditions saw a score of 40.8.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
