Nikkei falls as latest U.S.-China tensions hurt investor mood

Nikkei falls as latest U.S.-China tensions hurt investor mood

TOKYO, Oct 9 (Reuters) - Japanese shares fell on Wednesday
as escalating U.S.-China tensions dimmed hopes for a deal in
high-level trade talks this week and soured the mood of
investors.
The Nikkei share average .N225 fell 0.86% to 21,401.98
while the broader Topix .TOPX lost 0.62% to 1,576.74.
Washington on Tuesday imposed visa restrictions on Chinese
officials for the detention or abuse of Muslim minorities, a
move Beijing denounced as interference in its internal affairs.
The U.S. decision cast a pall over high-level trade talks
set for Thursday and Friday in the U.S. capital. Growth-sensitive technology shares led Tokyo's decline, with
robot maker Fanuc 6954.T down 1.7% and Keyence 6861.T off
1.4%.
Chip-related shares were hit the hardest, with Sumco
3436.T , a maker of silicon wafers, down 3.7% and Advantest
6857.T falling 3.6%.
AGC 5201.T dropped 3.3% after the glass maker said it
expected a 36% drop in annual net profit due to an impairment in
its auto glass business.
Nissan Motor 7201.T fell 0.7%, in line with the overall
market, after automaker said its new CEO is an executive known
for close ties to top shareholder Renault RENA.PA .
Defensive stocks bucked the weak trend. Kao 4452.T , a
manufacturer of toiletries, rose 1.1%, while retailer Seven&I
Holdings 3382.T gained 0.7%.
Kansai Electric Power 9503.T rose 2.4% after media
reported its chairman has decided to resign amid a graft scandal
that has rocked public trust in Japan's second-largest utility.