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Nikkei hits 2-wk closing low after as-expected GDP

Published 08/17/2009, 02:10 AM
Updated 08/17/2009, 02:12 AM

TOKYO, Aug 17 (Reuters) - Japan's Nikkei average fell 3.1 percent on Monday on profit-taking in the wake of its rise to 10-month highs last week, with resource-linked shares such as Inpex Corp retreating due to a slide in oil prices.

Data showing that Japan's economy grew 0.9 percent in April-June from the previous quarter, broadly in line with a median market forecast for 1.0 percent growth, prompted investors to lock in profits, market players said.

While Japan's GDP posted its first expansion in five quarters, the data was a disappointment for some investors who had expected even stronger numbers, market players said.

The Nikkei slid 328.72 points to 10,268.61, its lowest closing level in about two weeks, and down from a 10-month closing high of 10,597.33 on Friday. The Nikkei's 3.1 percent slide was its biggest one-day percentage fall since late March.

The broader Topix index fell 2.5 percent to 949.59. (Reporting by Masayuki Kitano;)

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