Tue, 09 Mar 2021

Tokyo shares end higher ahead of earnings season

News24
27 Jan 2021, 20:12 GMT+10

  • Tokyo stocks ended higher Wednesday.
  • The benchmark Nikkei 225 index rose 0.31% to 28,635.21, while the broader Topix index advanced 0.65%.
  • The Tokyo market began with gains, rebounding from falls on Tuesday, while investors looked to quarterly corporate earnings which appeared to show improvement.

Tokyo stocks ended higher Wednesday with bargain-hunters moving in as Japan's corporate earnings season kicked off.

The benchmark Nikkei 225 index rose 0.31%, or 89.03 points, to 28 635.21, while the broader Topix index advanced 0.65%, or 12.07 points, to 1 860.07.

The dollar stood at 103.65 yen, little moved from 103.61 yen in New York.

The Tokyo market began with gains, rebounding from falls on Tuesday, while investors looked to quarterly corporate earnings which appeared to show improvement.

"Investors continue to confirm evidence of improving corporate earnings", as some firms begin to releasing their results, SMBC Nikko Securities said.

The market was also buoyed by a decision by the International Monetary Fund to upgrade the outlook for Japan and the world economy, the brokerage added.

The Nikkei index did dip into negative territory during trade as investors locked in profits before the lunch break.

But shares quickly recovered and stayed in the positive region to end the day with moderate gains.

"The pace of the market's gains began to slow, with investors taking a wait-and-see stance ahead of FOMC (US Federal Reserve) later in the day," SMBC Nikko said.

Investors also took cues from Wall Street shares, which fell overnight, Okasan Online Securities said.

"Investors' interest is focused on firms about to publish their earnings, making the overall market... lack a sense of direction," Okasan said.

Among major shares, industrial robot maker Fanuc surged 2.39% to 27 800 yen. IT firm Fujitsu added 2.58% to 16 530.

But Tokyo Electron, a major producer of tools to build semiconductors, gave up 1.15% to 43 900 yen.

Nintendo added 0.66% to 62 610 yen, while Sony fell 0.15% to 10 270 yen.

Nippon Steel gave up 2.59% to 1 220 yen. Uniqlo-operator Fast Retailing also lost early gains and ended down 1.05% to 90 680.

Source: News24

More North America News

Access More

Sign up for North America News

a daily newsletter full of things to discuss over drinks.and the great thing is that it's on the house!