TOKYO, Dec. 24 (Xinhua) -- Tokyo stocks snapped a three-day rally with a slight decline on Friday, as market participants locked in gains amid subdued trading ahead of the Christmas holidays.
The 225-issue Nikkei Stock Average finished 15.78 points, or 0.05 percent, lower from Thursday at 28,782.59.
The broader Topix index of all First Section issues on the Tokyo Stock Exchange closed 2.65 points, or 0.13 percent, lower at 1,986.78.
Trading volume on the main section decreased to 746.72 million shares from Thursday's 813.50 million shares, remaining at a relatively low level.
Tokyo stocks opened high from the outset, following multiple reports said that the Omicron variant might be less likely to cause hospitalizations compared with other strains of the COVID-19, but later trimmed gains and moved into negative territory in the afternoon.
Over the last three trading days, the Nikkei benchmark has increased more than 800 points toward the 29,000 line.
"Although sentiment has been lifted by studies on Omicron as well as the recent approval of some COVID-19 drugs in the United States, the rise in coronavirus cases in Europe and the United States has put a damper on the festive mood ahead of the Christmas holidays," said Masahiro Yamaguchi, the head of investment research at SMBC Trust Bank.
He also said that reports of community transmission of Omicron variant in Japan had a limited effect on the stock market since investors awaited clarity regarding government measures to curb a potential resurgence of the COVID-19 infections.
Japanese Chief Cabinet Secretary Hirokazu Matsuno said Thursday that the government would not tighten COVID-19 restrictions immediately despite the community transmission of the Omicron variant, as the government has taken full-fledged measures against it.
By the close of play, insurance, land transportation, and electric power and gas shares were major decliners. Losing issues outnumbered gaining ones 1,173 to 884 on the First Section, while 127 finished unchanged.
Technology firms tracked overnight gains in their U.S. counterparts, with Tokyo Electron rising 1.2 percent, Fanuc up 0.5 percent, and Screen Holdings jumping 2.8 percent.
Trading company Mitsui ended down 0.6 percent after being sued by Nippon Steel Corp. for patent infringement. Enditem