Japan Shares Slip for 3rd Day; U.S. Stimulus Debate in Focus

TOKYO, Dec 8 Reuters Japanese shares ended lower for the third straight session on Tuesday, as a monthlong rally ran out of gas, with investors awaiting U.S. lawmakers decision on a fresh COVID19 pandemic relief package.

The Nikkei share average lost 0.30 to close at 26,467.08. The broader Topix shed 0.11 to 1,758.81, after touching its lowest since Nov. 20 earlier in the session.

The U.S. Congress will vote this week on a oneweek stopgap funding bill to provide more time for lawmakers to reach a deal on coronavirus relief and an overarching spending bill to avoid a government shutdown.

Japan will compile a fresh 73.6 trillion yen 708 billion economic stimulus package to speed up the countrys recovery from its deep coronavirus slump, Prime Minister Yoshihide Suga said.

Overall sentiment remained upbeat as investors expect the global economic recovery to continue, with COVID19 vaccines look set to be rolled out soon and stimulate consumption worldwide.

The global manufacturing cycle is about to enter an expansion phase from contraction. For value shares, including a lot of Japanese shares, that is the phase when they historically performed the best, said Shusuke Yamada, chief Japan FX and equity strategist at Bank of America.

Hydrogen product maker Iwatani jumped 10.3 after the Nikkei business daily reported that Japan was likely to set a target to expand the use of hydrogen to 10 million tonne by 2030 to meet its emission goal.

Sekisui House rose 4.3 after the…

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