The Japanese stock market is significantly higher on Thursday, extending the sharp gains in the previous session after a holiday, with the benchmark Nikkei 225 above the 28,700 level, following the broadly positive cues overnight from Wall Street, as traders reacted positively to the US Federal Reserve’s monetary policy announcement. Domestic data also showed that Japan’s October services activity grew for the first time in almost two years.
The benchmark Nikkei 225 Index is gaining 217.99 points or 0.74 percent to 29,738.89, after touching a high of 29,880.81 earlier. Japanese markets were closed for a holiday on Wednesday. Japanese stocks closed sharply higher on Tuesday.
Market heavyweight SoftBank Group is flat and Uniqlo operator Fast Retailing is gaining more than 1 percent. Among automakers, Toyota and Honda are adding almost 1 percent each.
In the tech space, Advantest is gaining more than 2 percent, Screen Holdings is surging more than 5 percent and Tokyo Electron is adding more than 2 percent.
In the banking sector, Mitsubishi UFJ Financial is gaining almost 2 percent, Sumitomo Mitsui Financial is adding more than 1 percent and Mizuho Financial is up more than 2 percent.
The major exporters are mostly lower. Sony is edging up 0.5 percent and Mitsubishi Electric is adding more than 1 percent, while Panasonic and Canon are gaining almost 2 percent each.
Among the other major gainers, Z Holdings is gaining almost 8 percent and Hitachi Zosen is adding more than 5 percent, while Yokogawa Electric and Alps Alpine are up almost 5 percent. JTEKT, NGK Insulators, Mitsui O.S.K. Lines, Toray Industries,. FUJIFILM Holdings, Nippon Yusen K.K. and Toho Zinc are all rising more than 4 percent each, while Sumitomo Heavy Industries, Oji Holdings and Keyence are up almost 4 percent.
Conversely, Mitsui E&S Holdings is plummeting more than 13 percent, Yamaha is falling almost 10 percent, Konica Minolta is shedding almost 9 percent and Kao is losing almost 4 percent.
In economic news, the services sector in Japan moved into expansion territory in October, the latest survey from Jibun Bank revealed on Thursday with a services PMI scire of 50.7. That’s up from 47.6 in September and it moves above the boom-or-bust line of 50 that separates expansion from contraction. The survey also showed that the composite index improved from 47.9 in September to 50.7 in October.
In the currency market, the U.S. dollar is trading in the lower 114 yen-range on Thursday.
On Wall Street, stocks moved mostly higher over the course of the trading day on Wednesday, as traders reacted positively to the Federal Reserve’s monetary policy announcement. With the continued upward move, the major averages once again reached new record closing highs.
The major averages all closed in positive territory after a strong move to the upside late in the session. The Dow rose 104.95 points or 0.3 percent to 36,157.58, the Nasdaq jumped 161.98 points or 1 percent to 15,811.58 and the S&P 500 climbed 29.92 points or 0.7 percent to 4,660.57.
Meanwhile, the major European markets finished the day mixed. While the U.K.’s FTSE 100 Index fell by 0.4 percent, the German DAX Index closed just above the unchanged line and the French CAC 40 Index rose by 0.3 percent.
Crude oil futures settled sharply lower Wednesday after data showed a significant jump in U.S. crude inventories last week. West Texas Intermediate Crude oil futures for December ended down by $2.74 or 3.3 percent at $81.17 a barrel.
Market Analysis
Japanese Market Significantly Higher
2021-11-04 02:21:43
