Markets react badly to Japan's failure to secure its aims at G-7 meeting

Tokyo

TOKYO share prices dropped and the yen gained on Monday in reaction to Japan's failure to convince its G-7 partners at last weekend's meeting of finance ministers and central bank governors in Sendai of the need for Japan to intervene in currency markets to curb yen strength and for concerted action to boost global economic growth.

Sentiment was also hurt by official data showing that manufacturing activity fell in May at its fastest rate in more than three years while exports dropped in April by just over 10 per cent, marking a seventh consecutive monthly decline and their fastest drop since 2012.