Japanese shares slide most in almost two months on US economic concerns

Aug 4, 2025, 14:11 GMT+7
(Reuters) - Japanese shares slid the most in two months on Monday as concerns mounted over the U.S. economy and trade, while speculation grew over a potential upheaval in domestic politics.
The Nikkei 225 Index of sharesclosed 1.25% lower, its steepest one-day slide since June 2. At one point, the gauge was down as much as 2.3%.
The broader Topixdeclined 1.1%, with a sub-index of bank stockssliding 3.2%.
U.S. shares fell sharply on Friday after data showed that the world's largest economy created fewer jobs than expected in July, while June's job growth was revised sharply lower, and a new round of punishing tariffs cast a shadow on global trade.
Tariffs that U.S. President Donald Trump imposed last week on dozens of countries are likely to stay in place rather than be cut as part of continuing negotiations, U.S. Trade Representative Jamieson Greer said.
The tariffs include a 35% duty on many goods from Canada, 50% for Brazil, 25% for India, 20% for Taiwan and 39% for Switzerland.
On the home front, speculation grew that Prime Minister Shigeru Ishiba might resign after last month's election defeat. Ishiba has consistently denied plans to step down after his ruling coalition lost its majority in the upper house of parliament, but pressure from within his Liberal Democratic Party is mounting.
"We had very weak job market data in the U.S. and sentiment among investors has darkened," said Kenji Abe, chief strategist at Daiwa Securities.
"There is some chance that Prime Minister Ishiba may be forced to step down, so I think that's one thing we should watch."
Yamahasank 8%, leading declines on the Nikkei gauge after the musical instrument maker cut its full-year profit forecast, citing the expected effect of U.S. tariffs.
Toyota Motordropped 1.8% as a rebound in the yen dented earnings prospects for exporters.
Going against the trend, Nintendosoared 5.1% on its report of strong demand for its Switch 2 gaming systems.
There were 48 advancers on the Nikkei index against 174 decliners. After Yamaha, the biggest loser was Credit Saison, which slid 6.6%.
The largest percentage gainers on the index were Nintendo, followed by chipmaker Socionext, which gained 4.8%.
 (Reporting by Rocky Swift in Tokyo; Editing by Harikrishnan Nair and Subhranshu Sahu) 

Sumber : Reuters