Japan stock market week to May 18, 2009

Tokyo retreated in the week ended May 18, following a two-week uptrend. The Nikkei 225 dropped 4.4%, to close at the 9,000 mark, while the Topix  Index was down 4.5%. Since the market broke through the resistance line  of 9,000 the previous week, investors were eager to gain profits.  Although players were temporarily encouraged by a report that machinery  orders in March showed a smaller-than-anticipated decrease from  February, falling only 1.3%, a steep daily setback was registered in the  last trading day because of an outbreak of H1N1 swine flu in western  Japan that caused worries about a potential negative effect on consumer  spending and corporate activities. The pharmaceutical index was down  0.8%, outperforming the market, with the performance of major drug  stocks mixed depending on individual company earnings reports.