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Staff of Reuters Read for 2 minutes (Reuters) – TOKYO, July 1 (Reuters) – Concerns that a rebound of COVID-19 infections will lead to an extension of restrictions, hampering economic recovery, sent Japanese stocks lower on Thursday. By 0200 GMT, the Nikkei share average had fallen 0.41 percent to 28,674.52, while the broader Topix had fallen 0.34 percent to 1,936.88. According to local media, Japan is considering extending coronavirus preventative measures in Tokyo and other places for two weeks to a month, as new illnesses in the country’s capital reached their highest level since May 26. “Investors are hedging their bets because they are concerned about a coronavirus recurrence,” said Shoichi Arisawa, general manager of IwaiCosmo Securities’ investment research department. “Shares that gained speed in the previous month on the anticipation of an economic revival are now losing steam. However, some investors are buying equities that are undervalued in comparison to their US counterparts, which is restraining falls.” SoftBank Group, a start-up investor, fell 1.41 percent, Advantest, a chip-making equipment producer, down 1.7 percent, and Terumo, a medical equipment maker, fell 1.42 percent, leading the Nikkei down. With Kawasaki Kisen down 4.76 percent, Mitsui OSK Lines down 4.31 percent, and Nippon Yusen down 3.73 percent, the sea transport sector was the biggest loss among the 33 sector sub-indices on the Tokyo exchange. Meanwhile, Nitori, a retailer of furniture and home renovation supplies, surged 2.14 percent after reporting a record quarterly net profit. The highest gainer among the top 30 core Topix names was Shin-Etsu Chemical, which jumped 1.51%, followed by Recruit Holdings, which rose 0.53 percent. The largest loser on the Topix 30 was Seven & I Holdings Co Ltd, which plummeted 2.04%, followed by Mitsui & Co, which sank 1.28 percent. The Mothers Index of start-up firm shares sank 0.3 percent, while the Tokyo Stock Exchange’s second section index fell 0.21 percent. Junko Fujita contributed reporting, and Aditya Soni edited the piece./nRead More

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