Japanese Stocks Rise After US Data Eases Concerns About Slowdown
Japan’s Topix index rose for a fifth day, putting it on track for the longest streak of gains this year, after mixed retail sales data in the US eased concerns about an economic downturn.
The Topix Index added 1.3% to 2,783.62 as of 9:20 a.m. Tokyo time
Out of 1,692 stocks in the index, 1,391 rose and 224 fell, while 77 were unchanged
The Nikkei advanced 1.3% to 37,895.81
A weaker yen also provided a tailwind to shares of exporters, such as automobile and electronics companies. Toyota Motor Corp. contributed the most to the Topix’s advance, increasing 3%.
The stock of Japan’s five major trading companies also rallied after Berkshire Hathaway increased its stake, in a move that may offer support to the broader market. Mitsubishi Corp. and Marubeni both rose as much as 5.7%.
The focus on the core retail sales data in the US indicates how investors are looking for factors to push share prices higher, said Hideyuki Ishiguro, chief strategist at Nomura Asset Management in Tokyo. In Japan, speculation the unpopular Prime Minister may be replaced is also supporting the market, he said.
Source : Bloomberg
