Japan: Stocks tumble

January 4, 2008

Dear friends,

It would be interesting to have an authentic chart for Japan.

It is possible the authentic chart would have Mars as an FM in the chart, given the pronounced reaction to the aspect of Rahu to Mars.

Please find attached three candidates for the chart, which show the following:

Japan_Sovereignity: 7° Sagittarius rising, running Me/Me period has nodal axist conjunct natal nodes and transit L5 Mars conjunct natal L8 Moon!

Japan_Meiji Consitution: 17° Taurus rising, Ma/Ve period operating. Has transit L12 Mars conjunct natal L3 Moon under aspect from Rahu in H10.

Japan_Post War Constitution: 3° Capricorn rising, Sa/Ra period operating. Transit nodal axis afflicting H2 and H8 MEPs, with transit L2 Saturn in H8. Transit L4 Mars in H6 afflicted by Rahu in H2.

Difficult choices!

Best wishes,

Thor

Japanese Stocks Tumble; Topix Has Record Opening-Day Fall

By Patrick Rial and Chua Kong Ho

Jan. 4 (Bloomberg) -- Japanese stocks fell, sending the Topix index to its worst New Year start, after Toyota Motor Corp. cut a forecast for U.S. sales, stoking concern that consumer demand is slowing in Asia's largest export market.

Toyota slid the most in more than four months and Nissan Motor Co. had its biggest tumble in six years after they both reported a drop in U.S. auto sales. Sony Corp. plunged 6.6 percent, the most since August.

Concerns about spending in the U.S. economy were sparked this week after reports showed companies added fewer jobs and the country's manufacturing industry posted the largest decline in five years. A government report tonight is expected to show U.S. hiring slowed and unemployment rose in December.

``The U.S. is not a growth market anymore for Japan's automakers,'' said James Chua, who helps manage $450 million including Toyota shares at Phillip Capital Management Ltd. in Singapore. ``There's likely going to be more bad news out of the U.S. and that's weighing on the market.''

The Nikkei 225 Stock Average slumped 616.37, or 4 percent, to 14,691.41 at close in Tokyo, the lowest since July 2006. The broader Topix index declined 63.77, or 4.3 percent, to 1,411.91, its weakest since October 2005. The Topix's drop was the most on a first day of trading since the index was created in 1949.

Japan's markets were open only for the morning session today after a week-long break.

Sony Falls

Kawasaki Kisen Kaisha Ltd. led shipping lines lower after transportation rates declined for a ninth consecutive day. Sega Sammy Holdings Inc. paced gains among gambling-related shares after Jiji Press said Japan may legalize casinos.

Benchmarks of transportation and electrical appliance shares included in the Topix both fell to the lowest since July 2006.

Toyota, the No. 2 seller of autos in the U.S., lost 260 yen, or 4.3 percent, to 5,780, its steepest fall since Aug. 17. The company cut its 2008 estimate for U.S. sales growth to between 1 percent and 2 percent from about 3 percent.

Nissan, which made about two-thirds of its sales outside Japan last year, tumbled 113 yen, or 9.2 percent, to 1,117, the biggest drop since September 2001. Toyota's U.S. sales declined 1.7 percent last month, and Nissan's decreased 2.4 percent.

``There's a question mark on exporters because when you can't afford to pay your mortgage, you aren't going to buy that new car,'' said Phillip Capital's Chua.

Sony, the world's second-biggest consumer electronics maker, slid 410 yen, or 6.6 percent, to 5,790. Matsushita Electric Industrial Co., the world's largest maker of plasma televisions, slumped 140 yen, or 6.1 percent, to 2,175.

Record Oil Price

U.S. companies added 40,000 jobs last month, down from the previous month's 173,000 increase, ADP Employer Services said yesterday. The Institute for Supply Management on Jan. 2 said its manufacturing index dropped in December to the lowest since April 2003.

Demand for U.S. manufactured goods rose 1.5 percent in November, more than forecast, the Commerce Department said in Washington yesterday. The figures did little to ease concern among investors that growth is cooling.

A Labor Department report later today is expected to show that payrolls rose by 70,000 last month after increasing 94,000 in November, according to economists in a Bloomberg News survey. The jobless rate probably rose to 4.8 percent from 4.7 percent.

``All of the market-moving factors point negative today,'' Soichiro Monji, who helps oversee $47 billion at Daiwa SB Investments Ltd. in Tokyo, said in an interview with Bloomberg TV. ``The decline in the ISM, the currency and record oil prices are good reasons to be selling at this point.''

`Tough Situation'

The yen strengthened to as high as 108.25 against the dollar yesterday, a level not seen since Nov. 27. Japan's currency recently traded at 108.87 yen, up from 112.97 at the close of trading on Dec. 28. A stronger yen decreases the value of Japanese exporters' dollar-denominated sales when converted into local currency.

Crude oil for February delivery rose to as high as $100.09 intraday in New York, the highest since trading began in 1983.

A gauge of shipping companies fell 6.1 percent, the steepest drop among the 33 industry groups included in the Topix. Kawasaki Kisen Kaisha Ltd., Japan's No. 3 shipping line, slid 78 yen, or 7.1 percent, to 1,020, its lowest in almost a year. Nippon Yusen K.K., the country's biggest shipping line, slid 56 yen, or 6.3 percent, to 832.

``With a stalling economy shipping volumes will shrink, while oil prices are high, making this a tough situation for marine transport companies,'' said Yoshihisa Okamoto, who helps manage $26 billion at Mizuho Asset Management Co. in Tokyo.

Casino Legalization?

The Baltic Dry Index, a benchmark for the price of shipping bulk commodities, slumped to the lowest in more than three months yesterday.

Sega Sammy, Japan's largest maker of pachinko and slot gambling machines, rose 7 yen, or 0.5 percent, to 1,400. Fujishoji Co., which also builds pachinko machines, rose 1,400 yen, or 1.6 percent, to 90,800.

Jiji Press reported yesterday the ruling Liberal Democratic Party agreed in principle to submit a bill to parliament to legalize casinos.

Nikkei futures expiring in March lost 3.9 percent to 14,660 in Osaka and slid 3.7 percent to 14,675 in Singapore.

To contact the reporter for this story: Patrick Rial in Tokyo at prial ; Chua Kong Ho in Shanghai at kchua6 .

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