🧐 ProPicks AI October update is out now! See which stocks made the listPick Stocks with AI

Japanese shares rise on economic optimism, tech rebound

Published 2021/03/12, 04:43
Updated 2021/03/12, 04:48
© Reuters.
JP225
-
MS
-
TOPX
-
8766
-
4503
-
9984
-
6861
-
6594
-

By Stanley White

TOKYO, March 12 (Reuters) - Japanese shares rose for a fourth straight session on Friday, as technology stocks bounced back while expectations that low interest rates and big fiscal spending would continue to support global economic growth kept investor sentiment supported.

The Nikkei 225 Index .N225 rose 0.76% to 29,434.40 by 0202 GMT and the broader Topix .TOPX climbed 0.73% to 1,938.92.

Technology and energy shares rebounded from recent losses following their U.S. peers, but that was partly offset by selling in the real estate and financial sectors.

Overall sentiment remained positive because of strong expectations that the global economic growth will accelerate as more countries vaccinate their citizens for the novel coronavirus.

"Japanese stocks are still in an upward trend, but the U.S. economy is bouncing back so quickly that eventually the Federal Reserve will have to start talking about tapering bond purchases," said Norihiro Fujito, chief investment strategist at Mitsubishi UFJ Morgan Stanley (NYSE:MS) Securities.

"When that happens, we will see an 8%-10% correction in Japanese stocks, but the market will quickly bounce back because global growth is getting stronger."

The stocks that gained the most among the top 30 core Topix names were Nidec Corp 6594.T , up 3.11%, and Keyence Corp 6861.T , rising 3.14%.

Start-up investor SoftBank Group Corp 9984.T rose 2.24% after South Korean e-commerce company Coupang CPNG.N , in which SoftBank holds a 35.1% stake, was valued at around $109 billion in its debut on Thursday. ride hailing company Grab Holdings Inc, which is also backed by SoftBank, is in talks to go public through a merger that could value the company at nearly $40 billion, people said. underperformers among the Topix 30 were Tokio Marine Holdings Inc 8766.T , down 1.27%, followed by Astellas Pharma Inc 4503.T , losing 0.74%.

There were 114 advancers on the Nikkei index against 104 decliners on Friday.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.