Japan Stocks Rise on Faster-Than-Expected GDP Growth, Weak Yen
Japanese stocks rose after the weakened yen overnight and data showed the economy expanded faster than expected last quarter.
Topix Index rose 0.7% to 3,080.88 as of 9:22 a.m. Tokyo time.
Nikkei advanced 0.3% to 42,780.90.
Strong GDP growth has somewhat strengthened expectations of an interest rate hike by the Bank of Japan, leading to higher bank stocks. Investors bought export-related sectors such as electronics and automobiles, as well as information firms and trading companies.
Japanese stocks are expected to rise in the future, so there is likely to be some bargain-hunting activity today as investors have a fear of missing out, said Masahiro Ichikawa, chief market strategist at Sumitomo Mitsui DS Asset.
Mitsubishi UFJ Financial Group contributed the most to the Topix’s gain, increasing 4.8%. Out of 1,679 stocks in the index, 618 rose and 969 fell, while 92 were unchanged.
Source : Bloomberg
