Japan resignation riles markets

After rallying at the start, Japanese markets fell on hearing news that Prime Minister Abe has resigned. The Nikkei ended the session 0.5 percent lower ( 15,798). Japan's yen currency also slipped. Abe's resignation is seen triggering a period of political uncertainty...a risk for investors. But there were some bright spots in the Japanese market. Carmaker Mazda gained more than 2 percent after its top executive said the firm is on track to meet its profit forecasts despite a recent strengthening of the yen. Other Asian markets disregarded the news. Investors are widely expecting the U.S. Federal Reserve will cut interest rates at its meeting next week. The rate cut scenario helped boost Hong Kong stocks. Property shares were among the biggest Hong Kong gainers. Also on the upside, energy stocks rose after oil prices held above $78 dollars in Asia trade. Tara Joseph-Hui reporting for Reuters. COMPANIES MENTIONED: SYMBOLS:

Submission | September 12, 2007

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