Tokyo stocks close higher
Tokyo stocks closed higher on Tuesday as Beijing’s stimulus measures pushed up Chinese shares, while investor focus shifted to corporate earnings reports expected over the coming weeks.
The benchmark Nikkei 225 index gained 0.51 percent, or 113.49 points, to end at 22,510.48, while the broader Topix index was up 0.47 percent, or 8.16 points, at 1,746.86.
Chinese stocks jumped on Tuesday after the government signalled it would shift to a looser fiscal policy to shield the world’s second-largest economy from the worsening trade row with Washington.
Shares in Tokyo also rose as the yen rally paused, analysts said.
“Buying back dominated trade as the yen took (a) breather,” Yoshihiro Ito, chief strategist at Okasan Online Securities, said in a commentary.
The dollar traded at 111.30 yen in Asian trade, down slightly from 111.46 yen in New York but up from 110.97 yen in Tokyo Monday afternoon.
In Tokyo trading, China-related shares were high, with Hitachi Construction Machinery soaring 6.14 percent to 3,800 yen and industrial robots maker Fanuc jumping 3.77 percent to 21,440 yen.
Mitsubishi Motors was 3.56 percent higher at 929 yen ahead of its earnings report for the first quarter to June due later on Tuesday.
“Individual shares of companies expected to have positive corporate earnings will get attention” from investors, Ito added.
Banks gained after US bond yields rose, with Sumitomo Mitsui Financial trading up 0.48 percent at 4,478 yen and Mitsubishi UFJ Financial 0.55 percent higher at 690.5 yen.
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