Tokyo: Nikkei index closes lower ahead of Fed meeting

[TOKYO] Tokyo's benchmark Nikkei index closed lower on Wednesday as investors locked in profits ahead of the US Federal Reserve's meeting.

The Nikkei 225 index slid 0.51 per cent or 150.29 points to end at 29,291.01, while the broader Topix index was flat, ending up 0.02 per cent or 0.38 points to 1,975.86.

"The Nikkei index fell on profit-taking with traders in a wait-and-see mode ahead of the Fed meeting," said Okasan Online Securities.

Investors have been trying to balance optimism over the reopening of some major economies with fears that the US central bank could soon begin tapering its easy-money policy.

"While no one expects much from the (Fed) meeting, Chair (Jerome) Powell will be questioned persistently about whether the Fed is talking about tapering," said Tapas Strickland, senior analyst at National Australia Bank.

In Tokyo trading, market heavyweight Fast Retailing, the operator of Uniqlo, dropped 2.72 per cent to 81,770 yen while Sony lost 2.85 per cent to 10,700 yen.

Nintendo fell 2.79 per cent to 63,250 yen after its presentation at gaming trade show E3 included no announcement of a new Switch console.

Airlines were lower with JAL dropping 2.25 per cent to 2,553 yen and ANA Holding shedding 0.71 per cent to 2,794 yen.

The dollar fetched 110.07 yen in Asian trade, against 110.06 yen in New York late Tuesday.

AFP