Japan stocks dip on earnings concern

Tokyo, Oct 28 (DPA) Japanese stocks dipped in early Thursday trading as the dollar weakened against the yen after two days of gains.

The benchmark Nikkei 225 Stock Average lost 5.77 points, or under 0.06 percent, to trade at 9,381.26 while the broader Topix index was down 1.40 points, or 0.17 percent, at 816.36.

On currency markets at 9 a.m. (0000 GMT), the dollar traded at 81.58-59 yen, down from Wednesday’s 5 p.m. quote of 81.98-99 yen. The euro traded at $1.3790-3791, down from 1.3801-3802 Wednesday and 112.51-58 yen, down from 113.14-18 yen.

Japanese Prime Minister Naoto Kan’s cabinet approved a 5.09-trillion-yen ($62.9 billion) stimulus package Tuesday to address the yen’s rise and counter deflation.

A stronger yen has a negative impact on Japanese exporters as it makes exports less competitive and erodes overseas earnings when revenues are repatriated.

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