Asian shares slip; Nikkei hit by rising yen

26 Jan 2026 10:52

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Economics
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Asian shares slip; Nikkei hit by rising yen

Photo: AP

Asian shares mostly declined Monday, as Japan's benchmark took a tumble after the yen surged against the U.S. dollar.Asian shares mostly declined Monday, as Japan's benchmark took a tumble after the yen surged against the U.S. dollar.

Japan’s Nikkei 225 fell 1.9% to 52,812.45, weighed down by selling in major exporters. Shares of Toyota Motor Corp. slid 3.2%, News.Az reports, citing AP.

A weaker yen typically benefits Japanese exporters by boosting the value of overseas earnings. In recent months, the U.S. dollar had been rising against the yen, but it dropped sharply in recent days after officials in both Japan and the United States signaled they were ready to intervene to support the Japanese currency.

The dollar weakened to 154.26 yen from 155.01 yen, after trading near 158 yen last week. The euro edged up to $1.1866 from $1.1858.

Elsewhere in Asia, South Korea’s Kospi slipped 0.6% to 4,961.58. Hong Kong’s Hang Seng Index dipped 0.1% to 26,722.89, while China’s Shanghai Composite gained 0.1% to 4,141.10.

Markets were closed in Australia, New Zealand, India and Indonesia.

U.S. futures edged lower amid ongoing uncertainty over U.S. tariff policies. Futures for the S&P 500 and the Dow Jones Industrial Average were both down 0.3%.

Trade concerns were heightened after U.S. President Donald Trump threatened to impose a 100% tariff on goods from Canada, warning that duties could be raised if Canada signed a free trade agreement with China. Canadian Prime Minister Mark Carney responded by saying Canada has no plans to pursue such a deal.

In 2024, Canada mirrored the United States by putting a 100% tariff on electric vehicles from Beijing and a 25% tariff on steel and aluminum. China had responded by imposing 100% import taxes on Canadian canola oil and meal and 25% on pork and seafood.

Breaking with the United States this month during a visit to China, Carney cut its 100% tariff on Chinese electric cars in return for lower tariffs on those Canadian products.

On Friday, the S&P 500 edged up less than 0.1% to 6,915.61. But it still notched a second straight week with a modest loss. The Dow Jones Industrial Average dipped 0.6% to 49,098.71. The Nasdaq composite rose 0.3% to 23,501.24.

The majority of stocks on Wall Street fell, and Intel weighed on the market after tumbling 17%.

The next chance for the U.S. Federal Reserve to move the short-term interest rate it controls will come on Wednesday. The market expectation is that it will hold steady.

In other dealings early Monday, benchmark U.S. crude rose 2 cents to $61.09 a barrel. Brent crude, the international standard, edged up 3 cents to $65.10 a barrel.

Gold gained 2% to nearly $5,100 an ounce, while silver jumped 6.4% to about $108 per ounce. The value of precious metals has surged in recent months as investors sought relatively safe places to invest.

News.Az

By Nijat Babayev