Japan's Nikkei cruises to 34-year peak, briefly breaching 38,000 range By Reuters
2024-02-13 15:20:09

By Brigid Riley

TOKYO (Reuters) -Japan's Nikkei share average closed at a fresh 34-year high on Tuesday as trading resumed after a long holiday weekend, with tech-related shares and strong corporate earnings supporting the benchmark stock index.

The Nikkei climbed 2.89% to 37,963.97 to its highest since January 1990, after briefly breaching 38,000 points.

The broader rose 2.12%.

Chip-sector giant Tokyo Electron Ltd gained 13.33%, making it the best performer of the day.

SoftBank (TYO:) Group Corp rose 6.27%, buoyed by the rally in semiconductor developer ARM Holdings (LON:) shares, in which SoftBank has a 90% stake.

Among other top gainers, Tokio Marine Holdings Inc and MS&AD Insurance Group Holdings Inc gained 11% and 10.82%, respectively.

Japanese equities also received a boost from a strong performance on Wall Street and a weakened yen, boosting the value of overseas revenue for exporters.

The yen traded around 149.47 per dollar during the session.

"We have raised our outlook for Japanese equities in 2024 (from 2,500 to 2,650 for TOPIX, from 35,000 to 37,000 for the ), taking into account changes in macroeconomic conditions, including the yen weakening early in the year, and progress on structural reforms," wrote J.P. Morgan analysts in a note earlier this month.

Out of the index's 225 constituents, 196 gained, while 26 declined.

As the Nikkei climbs toward its all-time high, the U.S. consumer price index (CPI) report out later on Tuesday will be in focus.

"Nikkei moves have been more closely tied to the yen recently, suggesting that any yen strength on the back of U.S. CPI release today, or signs of verbal intervention, could tactically disrupt the rally in Nikkei," said Charu Chanana, head of currency strategy at Saxo Markets.

Otsuka Holdings was among the decliners, shedding 5.05% after the company said its experimental drug failed to meet a primary late-stage trial goal in treating agitation associated with dementia due to Alzheimer's disease.

The content of this article does not represent the views of fxgecko website. The content is for reference only and does not constitute investment suggestions. Investment is risky, so you should be careful in your choice! If it involves content, copyright and other issues, please contact us and we will make adjustments at the first time!

Related News

您正在访问的是FxGecko网站。 FxGecko互联网及其移动端产品是中国香港特别行政区成立的Hitorank Co.,LIMITED旗下运营和管理的一款面向全球发行的企业资讯査询工具。

您的IP为 中国大陆地区,抱歉的通知您,不能为您提供查询服务,还请谅解。请遵守当地地法律。