The Japanese stock market is modestly higher on Tuesday, extending the gains of the previous session, with the benchmark Nikkei index just below the 29,400 level, following the mixed cues from Wall Street overnight. Traders are upbeat after the Bank of Japan announced that will extend its pandemic-relief programmes to support a fragile economic recovery.
Traders also welcomed the Japanese government’s decision to lift the COVID-19 state of emergency in Olympics city Tokyo and downgrade to quasi-emergency state in three prefectures as infections steadily decline and the strain on hospitals eased.
The benchmark Nikkei 225 Index is gaining 199.35 points or 0.68 percent to 29,361.15, after touching a high of 29,450.29 earlier. Japanese shares closed notably higher on Monday.
Market heavyweight SoftBank Group is edging down 0.5 percent, while Uniqlo operator Fast Retailing is edging up 0.2 percent. Among automakers, Honda and Toyota are edging up 0.3 percent each, while Mazda is edging down 0.4 percent.
In the tech space, Advantest is gaining almost 2 percent, while Tokyo Electron and Screen Holdings are adding more than 1 percent each. In the banking sector, Mitsubishi UFJ Financial, Sumitomo Mitsui Financial and Mizuho Financial are edging up 0.4 percent each.
The major exporters are mixed, with Sony and Canon gaining more than 1 percent each, while Panasonic is edging down 0.1 percent. Mitsubishi Electric is edging up 0.4 percent.
Among the other major gainers, Eisai is gaining more than 4 percent, while Sumco, Sumitomo Realty & Development and Konica Minolta are adding more than 3 percent each. Seiko Epson, Toyo, Seikan Group Holdings, Toto and Nikon are all up almost 3 percent each. Trend Micro, NEC, Dentsu Group, Recruit Holdings, Kyocera and Olympus are higher by more than 2 percent each.
Conversely, Nippon Steel is losing more than 3 percent, while JFE Holdings, ANA Holdings and Kajima are down more than 2 percent each.
In the currency market, the U.S. dollar is trading in the lower 110 yen-range on Tuesday.
On the Wall Street, stocks turned in a mixed performance during trading on Monday, although the tech-heavy Nasdaq and the S&P 500 still managed to reach new record closing highs. The narrower Dow climbed well off its worst levels of the day but still closed in the red.
The Nasdaq climbed 104.72 points or 0.7 percent to 14,174.14 and the S&P 500 rose 7.71 points or 0.2 percent to 4,255.15 after spending much of the day in negative territory. Meanwhile, the Dow dipped 85.85 points or 0.3 percent to 34,393.75.
The major European markets also turned in a mixed performance on the day. While the German DAX Index edged down by 0.1 percent, the U.K.’s FTSE 100 Index and the French CAC 40 Index both rose by 0.2 percent.
Crude oil futures ended slightly lower Monday on news that the next phase of England’s lockdown reopening will be delayed due to a surge of the Delta variant of Covid-19. West Texas Intermediate Crude oil futures for July ended down by $0.03 or 0.04 percent at $70.88 a barrel.
Market Analysis
Japanese Market Modestly Higher
2021-06-15 02:27:45
