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Nikkei tanks over 1% to fresh weekly lows

FXStreet (Mumbai) - The Japanese equities index opened slightly lower tracking negative closing on Wall Street overnight and fell further in to losses heading for a softer weekly close as recent downbeat US data dampened investors’ sentiments.

The benchmark Nikkei 225 index trades lower by -1.03% at 19680.36, hovering near session lows at 19638.37 levels. The index erased previous gains and dropped to fresh weekly lows after the recent strength in the Japanese yen continued to weigh on the exports driven stocks, dragging the index lower.

The index trades with a positive market breadth, the advance-decline ratio being 87:132. Mitsubishi Corp is rallying more than 4%, followed by Mitsubishi Materials up nearly 3%. Among the top losers, Isetan Mitsukoshi Holdings is down -8.59%. While Alps Electric is down –6.52%.

Nikkei Technical Levels

The index has an immediate resistance stands at 19800. Meanwhile, support is seen at 19600 levels and from here to 19450 levels.

US core inflation might tick higher to 0.2%mom - RBS

FX Trading Strategists at RBS, preview the US inflation data release today, anticipating the steady oil prices to keep the US inflation rate out of negative territory.
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‘I would be comfortable with liftoff relatively soon’ – Fed’s Mester

Speaking to The Forecasters Club, Cleveland Federal Reserve President Loretta Mester saw positive signs in the US economy and suggested starting to tighten monetary policy sooner rather than later.
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