Japanese shares were flat in choppy trade on Friday morning as worries about slower smartphone demand hit technology shares, while financial stocks rallied helped by higher US yields.
The Nikkei was flat at 22,191.83 in midmorning trade, after trading in negative territory. For the week, the Nikkei has gained 1.7 per cent and is poised to post its fourth straight week of gains.
Semiconductor equipment companies and electronic component makers underperformed after Taiwan Semiconductor Manufacturing Co Ltd, the world’s largest contract chipmaker, revised its full-year revenue target to the low end of its previous forecast due to softer demand for smartphones.
Tokyo Electron tumbled 4.5 per cent, Advantest Corp dived 4.8 per cent, while Murata Manufacturing shed 2.9 per cent, TDK Corp fell 2.9 per cent and Alps Electric dropped 3.2 per cent, reports Reuters.
On the other hand, financials, which hunt for high-yielding products such as foreign bonds, outperformed after US yields rose.
Insurers Dai-ichi Life surged 3.5 per cent, MS&AD Insurance gained 1.2 per cent. Sumitomo Mitsui Financial Group added 0.7 per cent.
The broader Topix gained 0.1 per cent to 1,752.38.
