Passersby walk past in front of stock quotation board outside a brokerage in Tokyo, Japan, September 29, 2015. Reuters/Issei Kato
Asian stocks were on edge on Wednesday as geopolitical tensions flared after Turkey downed a Russian fighter jet, while crude oil prices extended gains.
Japan’s Nikkei .N225 shed 0.4 percent.
Adding to investor nervousness that followed attacks in Paris earlier this month, Turkey shot down a Russian aircraft near the Syrian border on Tuesday, saying the jet had violated its air space.
It was one of the most serious publicly acknowledged clashes between a NATO member country and Russia for half a century.
“The individual impact on the market from events like the Paris attacks and heightened security in Brussels may be small, but there is also uncertainty that’s worrying investors,” said Masaru Hamasaki, head of market & investment information department at Amundi Japan.
“The stock market does not like uncertainty,” Hamasaki said.
Still, some of the markets in the region managed to hold their own even as the tense backdrop kept buyers at bay. Shanghai shares edged up 0.3 percent .SSEC while Malaysian and Indonesian stocks also posted modest gains.