Mitsui OSK Lines Ltd, Japan's second-largest shipping line, fell to the lowest in a year, after an unexpected drop in US retail sales added to concern demand for carrying cargo may slow.
Mitsui OSK fell 5.4 per cent to 1,176 yen as of 1:39 pm on the Tokyo Stock Exchange. Nippon Yusen KK, the largest shipping line, declined 3.5 per cent and Kawasaki Kisen Kaisha Ltd, the country's third-largest shipping line, fell 2.2 per cent.
Shipping prices for bulk commodities such as iron ore slumped for a sixth day on Tuesday, according to an index from the Baltic Exchange. December retail sales in the world's largest economy fell 0.4 per cent, as consumers bought less clothing, building materials and other goods shipped by container.
'The US economy is slowing, spreading concern that demand for shipping will weaken considerably,' said Yoshihisa Miyamoto, an analyst in Tokyo at Okasan Securities Co. 'The drop in the Baltic index is compounding the decline in shipping stocks.' Miyamoto has a 'neutral' rating on Mitsui OSK and strongly recommends investors sell Nippon Yusen and Kawasaki Kisen shares.
China Cosco Holdings, China's largest container- shipping line, fell 9 per cent to HK$17.20 in Hong Kong trading. Sinotrans Shipping, dropped 8 per cent to HK$4.74. China Shipping Development, the nation's biggest oil carrier, tumbled 10.7 per cent to HK$19.24.
Mitsui OSK fell 5.4 per cent to 1,176 yen as of 1:39 pm on the Tokyo Stock Exchange. Nippon Yusen KK, the largest shipping line, declined 3.5 per cent and Kawasaki Kisen Kaisha Ltd, the country's third-largest shipping line, fell 2.2 per cent.
Shipping prices for bulk commodities such as iron ore slumped for a sixth day on Tuesday, according to an index from the Baltic Exchange. December retail sales in the world's largest economy fell 0.4 per cent, as consumers bought less clothing, building materials and other goods shipped by container.
'The US economy is slowing, spreading concern that demand for shipping will weaken considerably,' said Yoshihisa Miyamoto, an analyst in Tokyo at Okasan Securities Co. 'The drop in the Baltic index is compounding the decline in shipping stocks.' Miyamoto has a 'neutral' rating on Mitsui OSK and strongly recommends investors sell Nippon Yusen and Kawasaki Kisen shares.
China Cosco Holdings, China's largest container- shipping line, fell 9 per cent to HK$17.20 in Hong Kong trading. Sinotrans Shipping, dropped 8 per cent to HK$4.74. China Shipping Development, the nation's biggest oil carrier, tumbled 10.7 per cent to HK$19.24.