Japan’s Shares Gain on Relief Over BOJ, Pause in Yen Rebound
Japan’s shares are rising Monday as a pause in the yen’s strengthening and relief that the Bank of Japan’s interest-rate hike last week passed without causing turmoil supported the market, with export-related industries such as automakers and precision-equipment firms rising.
The Topix Index rose 0.9% to 2,775.97 as of 9:17 a.m. Tokyo time.
The Nikkei advanced 0.6% to 40,160.87.
Toyota Motor Corp. contributed the most to the Topix Index gain, increasing 1.9%. Out of 2,119 stocks in the index, 1,686 rose and 327 fell, while 106 were unchanged.
Financial and real estate stocks were also higher, helped by the rise in their US peers.
“Japanese stocks have lagged behind overseas markets since the beginning of the year due to the wild fluctuations in stock prices caused by the Bank of Japan’s monetary policy,” said Shoji Hirakawa, chief global strategist at Tokai Tokyo Intelligence Lab. “This week, Japanese stocks are likely to be bought back and the lag in performance corrected, due to the sense of relief that the BOJ meeting is behind us.”
On the other hand, uncertainty surrounding US tariff policy is weighing on the market’s upside, as President Donald Trump said he’d impose sanctions on Colombia for impeding his immigration goals.
Source : Bloomberg
