Japanese Stocks Rise for Fourth Day With Gains in Tech Stocks
Japanese stocks rose for a fourth day, buoyed by the solid performance of US shares when the Tokyo market was closed Monday, particularly in semiconductor and technology stocks.
The Topix Index rose 0.1% to 3,164.36 as of 9:22am Tokyo time
Toyota Motor Corp. contributed the most to the Topix Index gain, increasing 0.9%. Out of 1,675 stocks in the index, 855 rose and 722 fell, while 98 were unchanged
The Nikkei climbed 0.2% to 44,858.55
Buying was led by export-related shares such as automakers, which face lower US tariffs from Tuesday, along with precision instruments and machinery. Cyclical sectors including steel, nonferrous metals and trading houses are higher. In contrast, defensive shares such as pharmaceuticals and foods are lower, while bank stocks are also weak.
With corporate earnings growing and the US widely expected to resume rate cuts this week, the global trend toward monetary easing has created favorable market conditions, said Hideyuki Ishiguro, chief strategist at Nomura Asset Management. The rally in US semiconductor stocks is seen as the beginning of an upward trend, which will lift tech shares in Japan, he said.
Candidates are also expected to declare an interest in Japan’s Liberal Democratic Party leadership race this week, so any potential policy announcements may act as a supportive factor for the domestic economy, Ishiguro added.
Source : Bloomberg
