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Japan's Nikkei falls on profit-booking, Fast Retailing shines on record profit
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Japan's Nikkei falls on profit-booking, Fast Retailing shines on record profit
Oct 9, 2025 8:16 PM

TOKYO, Oct 10 (Reuters) - Japan's Nikkei share average

fell on Friday as investors booked profits ahead of a three-day

weekend from the fast-paced rally, while Uniqlo brand owner Fast

Retailing ( FRCOF ) jumped after posting a record profit.

As of 0221 GMT, the Nikkei was down 0.9% at

48,117.92. The broader Topix slipped 1.62% to 3,205.05.

"It was natural that investors wanted to book profits after

the sharp rally," said Shuutarou Yasuda, a market analyst at

Tokai Tokyo Intelligence Laboratory.

The Nikkei surged 5% so far this week, after Sanae Takaichi

was placed on course to become the next prime minister, boosting

expectations of renewed fiscal stimulus and loose monetary

policy.

"But worries that whether Takaichi can successfully secure

coalition partners are growing. The stocks rose on expectations

of Takaichi's fiscal spending, but if the Liberal Democratic

Party (LDP) can not form a solid coalition, Takaichi's plans may

not go ahead," Yasuda said.

Technology investor SoftBank Group lost 3.74% to

become the biggest drag on the Nikkei. Chip-related shares fell,

with Advantest ( ADTTF ) and Tokyo Electron ( TOELF ) slipping 2%

and 1.5%, respectively.

The Nikkei rose by around 6,000 points from the low on

September 3 to the previous session. Of which, 70% of the gains

came from the rally of those three firms, said Kazuaki Shimada,

chief strategist at IwaiCosmo Securities.

Fast Retailing ( FRCOF ) jumped 6.3% to become the biggest

support for the Nikkei, after it posted a record high profit for

the year ended August, and forecast a fifth-straight year of

record profit in fiscal 2026 on its aggressive expansion in

North America and Europe.

All but one of the Tokyo Stock Exchange's 33 industry

sub-indexes fell, with the brokerage index losing

3.8% to become the worst performer.

The retail sector edged up 0.59%.

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