The Japanese stock market is modestly higher on Wednesday, recouping the losses in the previous session, with the Nikkei 225 moving above the 27,400 level, despite the broadly negative cues overnight from Wall Street, with exporters and financial stocks supporting the market.
The benchmark Nikkei 225 Index is up 180.18 points or 0.66 percent at 27,459.98, after touching a high of 27,477.43 earlier. Japanese stocks closed modestly lower on Tuesday.
Market heavyweight SoftBank Group is flat and Uniqlo operator Fast Retailing is down almost 1 percent. Among automakers, Honda is gaining almost 3 percent and Toyota is adding more than 3 percent.
In the tech space, Screen Holdings is flat. Advantest is edging down 0.3 percent and Tokyo Electron is losing more than 1 percent.
In the banking sector, Mizuho Financial is gaining almost 2 percent, while Mitsubishi UFJ Financial and Sumitomo Mitsui Financial are adding more than 2 percent each.
Among the major exporters, Sony is gaining more than 1 percent, Mitsubishi Electric is adding almost 1 percent, Canon is advancing almost 2 percent and Panasonic is edging up 0.2 percent.
Among the other major gainers, IHI is surging 6.5 percent and NTN is gaining more than 5 percent, while Nissan Motor, Kawasaki Kisen Kaisha, Kawasaki Heavy Industries and Mitsubishi Heavy Industries are adding almost 5 percent each. Isuzu Motors, T&D Holdings, Fukuoka Financial, NSK and Nippon Suisan Kaisha are advancing more than 4 percent each, while JTEKT, Subaru, Alps Alpine and Yokohama Rubber are up almost 4 percent each.
Conversely, Daiichi Sankyo is losing more than 4 percent and Inpex is down 3.5 percent.
In economic news, the manufacturing sector in Japan continued to expand in May, albeit at a slower pace, the latest survey from Jibun Bank revealed on Wednesday with a manufacturing PMI score of 53.3. That’s down from 53.5 in April, although it remains above the boom-or-bust line of 50 that separates expansion from contraction.
In the currency market, the U.S. dollar is trading in the 129 yen-range on Wednesday.
On Wall Street, stocks closed lower on Wall Street on Tuesday as concerns about soaring inflation and looming policy tightening by the Federal Reserve rendered the mood bearish.
The major averages all ended on a negative note despite recovering well from an early setback. The Dow ended the session with a loss of 222.84 points or 0.67 percent at 32,990.12, the S&P 500 drifted down 26.09 points or 0.63 percent to 4,132.15 and the Nasdaq ended down 49.74 points or 0.41 percent at 12,081.39.
The major European markets also moved to the downside on the day. Germany’s DAX tumbled 1.29 percent and France’s CAC 40 ended 1.43 percent down, while the U.K.’s FTSE 100 edged up marginally.
Crude oil prices bounced off a hit two-month high on Tuesday and finished modestly lower on reports that OPEC may suspend Russia’s participation in an oil production deal. West Texas Intermediate Crude oil futures ended lower by $0.40 or 0.35 percent at $114.67 a barrel after rallying to $119.98 a barrel earlier in the day.
Market Analysis
Japanese Market Modestly Higher
2022-06-01 02:30:14
