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Japan stocks see longest foreign sell-off in 3 years as US tariffs weigh
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Japan stocks see longest foreign sell-off in 3 years as US tariffs weigh
Apr 2, 2025 10:03 PM

April 3 (Reuters) - Foreigners sold Japanese stocks for

the ninth straight week through March 29, the longest selling

run in three years, amid concerns that U.S. reciprocal tariffs

could disrupt exports.

U.S. President Trump announced a higher-than-expected 24%

tariff on Japanese goods on Wednesday, while a previously

imposed 25% tariff on auto imports will take effect as planned

on April 3 in a major blow to the Japanese auto industry.

Foreigners sold Japanese stocks worth 450.4 billion yen

($3.06 billion) on a net basis for the week, according to data

from Japan's Ministry of Finance.

In the nine straight weeks of net selling that began on

January 26, foreigners have withdrawn 6.47 trillion yen compared

with just 3.89 trillion yen worth of total net withdrawals in

the week through March 26, 2022, the last nine-week-long selling

streak.

The Nikkei tumbled as much as 4.6% to an eight-month

low of 34,102.00 on the day, with analysts warning of further

pressure as a stronger yen, driven by safe-haven demand,

threatened to weigh on exports.

Foreign investors also ditched Japanese bonds in the week

ended March 29, as they shed long-term bonds worth 489.7 billion

yen and short-term bills of 155.8 billion yen.

Meanwhile, Japanese investors net bought foreign stocks

worth 583.2 billion yen, marking the sixth weekly net purchase

in seven weeks.

However, they sold foreign debt, for the second successive

week, worth about 214.9 billion yen.

($1 = 147.3600 yen)

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