Tokyo stocks edge up on hopes for global recovery


Tokyo, Japan

Tokyo’s benchmark Nikkei index closed slightly higher Wednesday on hopes for a global economic recovery, with the market shifting its focus to corporate earnings.

The Nikkei 225 index rose 0.12 percent, or 34.16 points, to 29,730.79, while the broader Topix index was up 0.67 percent, or 13.09 points, at 1,967.43.

“Hopes for a global economic recovery grew further following the IMF’s upward revision,” said Toshikazu Horiuchi, a broker at IwaiCosmo Securities.

The International Monetary Fund said its World Economic Outlook now sees global growth of 6.0 percent this year after the contraction of 3.3 percent in 2020 caused by the Covid-19 pandemic.

“But concerns over a surge in the number of infections in Japan, especially Osaka, weighed on the market,” Horiuchi told AFP.

Osaka’s governor said he would not allow Tokyo Olympic torchbearers to run on public roads in the western Japan prefecture due to a surge in infections.

“Now players are shifting their focus to full-year results” as Japan’s corporate earnings season will kick off later this month, Horiuichi added.

The dollar fetched 109.82 yen in Asian afternoon trade, against 109.73 yen in New York.

Toshiba ended at its daily limit high of 4,530 yen, up 18.27 percent, after its president confirmed reports that a British private equity fund has proposed a buyout of the Japanese company, in a deal reportedly worth about $20 billion.

Sony rose 0.70 percent to 12,165 yen after Sony Pictures Entertainment unveiled plans to jointly set up an amusement park in Thailand based on productions from its Columbia Pictures studio.

Toyota rallied 1.44 percent to 8,487 yen, but Uniqlo-operator Fast Retailing, which will announce its first-half results on Thursday, dropped 1.88 percent to 89,490 yen.


© Agence France-Presse