Nikkei ends lower, China-focused shares slip
* Japan’s benchmark index pulls back from 2-1/2-week high
By Daniel Leussink
TOKYO, Nov 9 (Reuters) – Japan’s Nikkei ended the week on a sour note, tracking broader losses in global equities markets, and as worries about further Sino-U.S. trade tensions weighed on some China-focused shares.
The Nikkei share average closed 1.05 percent lower at 22,250.25, pulling back from a 2-1/2-week high reached during the previous session and erasing almost all gains it had made earlier in the week.
Japan’s benchmark index has recovered 6.1 percent in recent weeks, after falling to its lowest level since late March on Oct. 26, with gains culminating in a post-U.S. mid-terms relief rally on Thursday.
Asian stocks moved away from a one-month high on Friday as Wall Street dipped overnight on lower U.S. crude oil prices and after the Federal Reserve kept intact its plans to gradually raise interest rates.
The Fed is expected to hike interest rates next month, the fourth time this year.
Analysts said some China-focused shares underperformed the broader market on Friday.
“Though the mid-term elections are over, worries that the U.S.-China trade war will drag on for the long term are lingering,” said Norihiro Fujito, chief investment strategist at Mitsubishi UFJ Morgan Stanley Securities.
Shares of factory automation equipment maker Fanuc Corp were down 4.8 percent, Nabtesco Corp lost 3.2 percent and Keyence gave up 0.9 percent.
Brands which have seen strong demand from Chinese consumers fell. Cosmetics maker Shiseido Co, which reported third-quarter earnings the previous day, slumped 5.0 percent while personal care goods maker Kao Corp was off 2.6 percent.
Index-heavyweights Fast Retailing and Nintendo declined 1.3 percent and 2.6 percent, respectively, and SoftBank Corp shed 0.2 percent.
The broader Topix lost 0.49 percent to close the week at 1,672.98, with 19 of the 33 subsectors finishing in negative territory. (Editing by Eric Meijer)
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