Japanese shares dip on Greece concerns, nerves over Fed outlook

domingo 14 de junio de 2015 22:07 GYT

* Concerns over Greece, Fed policy outlook cap markets
    * Investors remain bullish on market on whole
    * Exporters shares lead losses
    * Honda down after earning restatement on additional recall

    By Hideyuki Sano
    TOKYO, June 15 (Reuters) - Japanese share prices dipped on
Monday on worries over the deadlock between Greece and its
creditors as well as a caution ahead of the U.S. Federal
Reserve's monetary policy committee meeting. 
    The Nikkei share average fell 0.2 percent to
20,373.24, though it recovered from the day's low of 20,205.10,
erasing most of its losses as investors remained generally
bullish on the market's outlook.
    Talks to end a deadlock on Greece's cash-for-reform rescue
steps broke up in failure on Sunday, with European leaders
venting their frustration as Athens stumbled closer towards a
debt default that threatens its future in the euro.
    Many investors have long expected Athens to capitulate to
creditors in the end, but lack of tangible progress in 
negotiations in recent days is making them nervous. 
    Some others think there is a real chance of a default but
they are not sure whether that will lead to Greece's exit from
the euro or whether Athens will find some way to stay within the
currency bloc.
    "I would say the market has already priced in a default. But
if Greece is going to leave the euro that is another matter,"
said Tetsuro Ii, president of Commons Asset Management.
    In addition to the looming uncertainty over Greece,
investors were also eager to see what Fed policy makers will
telegraph to markets on Wednesday after its two-day policy
    The spectre of a U.S. rate hike down the road has capped
stock prices around the globe, with the Nikkei average going
through a correction after hitting a 15-year high on May 28. 
    With the two main risk factors both originating offshore, 
traders were selling shares in exporters and other companies
that have exposure to the global economy.
    Panasonic fell 1.0 percent while Fanuc 
dropped 1.0 percent. 
    Honda Motor shed 1.1 percent after the carmaker
said it would restate its financial results for the last
business year to account for about $360 million in additional
costs to pay for an expanded recall.
    Still, many investors remained positive on Japanese shares,
which have been bolstered by hopes of a recovery in the Japanese
economy and higher shareholder returns due to the government's
push for corporate governance reforms. 
    The broader Topix stood flat at 1,651.77 after
having dropped 0.8 percent to 1,637.62 while the JPX-Nikkei
Index 400 was also flat at 14,900.01, having fallen
to 14,770.12 earlier.

 (Editing by Eric Meijer)