Japan market summary for Thursday (Oct. 25)
Nikkei 225 Stock Average: -74.22 (-0.5%) to 16,284.17
Nikkei 225 futures Osaka: -90 (-0.6%) to 16,280, Singapore (SGX) -85 (-0.5%) to 16,290, Chicago (CME) *10/24 -180 (-1.1%) to 16,400
TOPIX: -15.79 (-1.0%) to 1,548.07; Advancers 431 x decliners 1,210 (unch. 84), New highs 4 x new lows 123
Nikkei Jasdaq: -9.64 (-0.5%) to 1,848.63
Yen: strengthened 0.1% against the US$ to 114.25 level late in Tokyo; weakened 0.1% against the euro to 162.95 level


Notes: Emerging stock indices MOTHERS and HERCULES also fell under selling pressure, losing -3.8% and -2.3%, respectively.

Subprime and other external factors continue to weigh heavy on Japanese equities. Trading is volatile and edgy. Earnings out of Sony (JP: 6758) were much improved — notice its ADRs (NYSE: SNE) jumped 6% to $47.98 — but a closer look shows it will take more patience before the Game division turns profitable and even its LCD TVs segment is operating in the red for the time being. Sony’s upward revised guidance was rather limited, 2%, and based on gains from real estate and the shares sold of Sony Financial.

Nintendo (JP: 7974) (NTDOY.PK) reported earnings and guidance that was mostly in-line. If we assume Nintendo was offering conservative guidance as it has in the past, then perhaps Nintendo is a buy here. Its pink sheet ADRs gained 2.8% to $77.00. We’re also coming upon the holiday shopping season, the forthcoming Fit and a growing selection of software, so apparently there is still a growth story here. Not to mention Nintendo’s price point is favorable to rivals’ consoles. More discussion of earnings to come…