Japan’s Stocks Advance, Led by Power Companies, Tech Tailwind
Japanese stocks rose for the third day, with support from yen weakness and gains in US tech stocks overnight. Utilities benefited from resumption of operations of the nuclear power plant closest to the epicenter of the massive earthquake that rocked Japan in 2011.
The Topix Index rose 0.6% to 2,697.54 as of 9:21 a.m. Tokyo time.
The Nikkei advanced 0.9% to 39,247.34.
Keyence Corp. contributed the most to the Topix Index gain, increasing 5.8%. Out of 2,125 stocks in the index, 986 rose and 996 fell, while 143 were unchanged.
The Nikkei 225 is likely to rise to 40,000 by the US presidential election, given short covering, says Mitsushige Akino. The fact that Japan’s ruling party is now a minority party and is not in a hurry to raise interest rates is seen as a policy friendly to the stock market, he adds.
Source : Bloomberg
