Roundup: Nikkei closes down 0.33 pct on yen's rise, Greece, Ukraine concerns

The Nikkei stock index closed down 0. 33 percent Tuesday as the yen's comparative strength dampened investor sentiment, along with concerns over Greece's bailout talks and geopolitical issues in Ukraine.

The Nikkei 225 index lost 59.25 points to close at 17,652.68, while the broader Topix index of all first-section issues edged up 0.20 percent, or 2.80 points, to 1,427.72.

Local traders said investors were in a risk-on mood on concerns over Greek Prime Minister Alexis Tsipras saying that he would adhere to his pre-election anti-austerity vows, sparking concerns the debt-ridden country may default on its repayments.

Athens is calling for a bigger bailout package, while rejecting the European Union's austerity measures, with Tsipras adamant that the austerity program will not be extended past its end of February deadline.

While stating he was hopeful of reaching a compromise with Brussels, Tsipras previously described the bailout as five years of "barbarity" that was too much for the Greek people to endure further.

"There's nothing particularly surprising about the details of the negotiations between Greece and the European Union," said Toyo Securities' Ryuta Otsuka.

"But the conflict between one side asking for a debt reduction and the other side seeking full repayment are weighing heavily on sentiment," he added.

Negotiations will continue on Wednesday in Brussels when markets here will be closed for a national holiday, adding to investor consternation, local brokers said.

"It's exceedingly unclear how things will play out overseas while Tokyo is closed. Many are closing out long positions," Mizuho Securities Co.'s Yutaka Miura said.

The fact that leaders from Russia, Ukraine, Germany and France meeting on Wednesday to discuss the conflict in eastern Ukraine while markets here are closed also factored into investors' positions today, market players said.

The U.S. dollar dropped to 118.52 yen from 118.64 yen logged in New York on Monday as the yen is often used as a safe haven in times of global economic or political uncertainty, which pushes up its value versus its counterparts.

In share trading, digital entertainment product maker Pioneer fell 0.8 percent to 234 yen, after the firm revised down its earning projection for the fiscal year through March.

Nikkei heavyweight Fast Retailing, owner and operator of the Uniqlo chain of apparel stores, fell 1.13 percent to close at 43, 435 yen.

Daikin Industries was another notable decliner, with its 5.5 percent drop to 7,676 yen weighing heavily on the market, as the Osaka-based air conditioner manufacturer's Q3 operating profit missed median market expectations.

Semi-conductor maker Tokyo Electron lost 3.58 percent to close at 8,234 yen and Showa Shell also closed in negative territory, declining 1.28 percent to end at 1,159 yen.

But construction firm Kajima was the market's biggest winner Tuesday, leaping 6.4 percent to 484 yen, after saying its nine- month net income had jumped 69 percent to total 23.5 billion yen.

Automaker Nissan also found traction, accelerating 3.8 percent to 1,104 yen, after raising its full-year net profit forecast. Nissan reported its net profit rose 21 percent from a year earlier in the Oct.-Dec. quarter, to 101.8 billion yen (about 854 million U.S. dollars).

Nissan's revenue increased 17 percent to 2.94 trillion yen and its net-profit forecast for the year ending March increased 3.7 percent to 420 billion U.S. dollars, the automaker announced.

Trading volume on Tuesday edged down to 2,004.75 million shares on the Tokyo Exchange's First Section, down from Monday's volume of 2,007.55 million shares, with advancing issues outpacing declining ones by 906 to 819. Endi