Japan’s Shares Gain on US Tech Rally, Dividend Reinvestment Bets
Japanese shares are gaining on Wednesday as a rebound in US tech stocks support electric appliance makers and information and communication firms and expected reinvestment of dividends at the end of March also boost values.
Topix Index rose 0.5% to 2,810.25 as of 9:14 a.m. Tokyo time
Nikkei advanced 0.7% to 38,043.85
Nintendo Co. contributed the most to the Topix Index gain, increasing 5.5%. Out of 1,692 stocks in the index, 834 rose and 748 fell, while 110 were unchanged.
“There’s a possibility that the tariffs on semiconductors and automobiles won’t be as bad as expected, and that means it will be easier for stock prices to recover,” said Ryuta Otsuka, strategist at Toyo Securities. About ¥1.5 trillion in funds to reinvest dividend payments are also expected to enter the market on Thursday and Friday, leading to hopes that the demand-supply picture will improve, he said.
Source : Bloomberg
