TOKYO, July 28 (Reuters) – The Nikkei fell to near a six-month low on Wednesday, as a retreat in Wall Street and concerns about rising coronavirus cases soured sentiment ahead of the U.S. Federal Reserve\u2019s policy meeting.<\/p>\n
Shin-Etsu Chemical dipped despite fairly upbeat earnings, while Apple suppliers slipped following the U.S. tech giant\u2019s results, signalling some growth stocks could face hurdles as the earnings season comes into a full swing.<\/p>\n
Nikkei share average fell 1.15% to 27,648.77, edging near a 6-1\/2-month low of 27,330 touched last week. The broader Topix declined 0.73% to 1,923.83, led by 1.09% fall in growth stocks.<\/p>\n
The fall came after U.S. peers dipped ahead of the Fed\u2019s policy meeting later in the day. The COVID-19 cases in Tokyo jumped to a record high of 2,848.<\/p>\n
Shin-Etsu slipped 0.3% after the silicon wafer manufacturer\u2019s forecast of a record profit for the current year came almost in line with market expectations.<\/p>\n
\u201cShin-Etsu Chemical\u2019s earnings were pretty good but today\u2019s market reaction shows the market won\u2019t react favourably unless there is a positive surprise,\u201d said Norihiro Fujito, chief investment strategist at Mitsubishi UFJ Morgan Stanley Securities.<\/p>\n
\u201cWhile global economic recovery supports the market on the whole, there are risk factors such as rise in coronavirus cases due to Delta variant, concerns about China\u2019s crackdown on tech firms. We could see the Nikkei testing 27,000.\u201d<\/p>\n
Suppliers of Apple saw lacklustre trade as the company forecast revenue growth would slow.<\/p>\n
Ibiden dropped 2.5% while Murata Manufacturing lost 1.0%.<\/p>\n
Makuake was untraded with offers inundating bids at day\u2019s limit price and it looks set to fall 15.9% after the crowdfunding firm slashed its profit outlook for the current year.<\/p>\n
Bicycle maker Shimano jumped 4.2% after it revised up its profit forecast above analysts\u2019 average estimate.<\/p>\n
Nisshin Seifun Group rose 4.7% after the flour milling and food company raised its annual earnings forecast following bumper profits in the April-June quarter.<\/p>\n
Mitsubishi Motors jumped 7.7% after the embattled automaker revised up its earnings outlook.<\/p>\n
SoftBank Group dropped 3.7% to an eight-month low on worries about China\u2019s crackdown on tech firms.<\/p>\n