Nikkei in Tokyo Soars 1.9%; Automakers, Retailers Advance

Nigel Thomas
08 Apr, 2011
New York City

The benchmark index in Tokyo soared 1.9% after opening lower. Retailers and automakers led the rally. Toyota, Honda and Nissan gained after a report suggested that exports resumed from Sendai port. Tokyo Electric Power soared 24% in a volatile trading.

[R]5:00 PM Tokyo – The benchmark index in Tokyo soared 1.9% after opening lower. Retailers and automakers led the rally. Toyota, Honda and Nissan gained after a report suggested that exports resumed from Sendai port. Tokyo Electric Power soared 24% in a volatile trading.[/R]

Stocks in Tokyo trading opened lower after a strong earthquake jolted northeast of Japan but managed to close higher on a rally in the afternoon.

Japan was hit with 7.1 magnitude earthquake aftershock 215 miles northeast of Tokyo. The damaged Fukushima Daiichi nuclear power plant was spared but at least three nuclear facilities lost power.

The Nikkei 225 Stock Average increased 177.15 or 1.9% to 9,768.08 and the broader Topix gained 1.6% to 854.43.

Retailers gained after better than expected results from Fast Retailing. Automakers gained after the Nikkei news reported that auto shipments resumed for the first time from Sendai port after March 11 earthquake.

Stock Movers

Fast Retailing Co. soared 7.2% to 11,940 yen after the apparel retailer forecasted 18% increase in full-year income to 60 billion yen.

Yesterday, after the close the operator of Uniqlo said revenues declined 2.9% to 457.33 billion yen and net dropped to 41.67 billion yen from 55.36 bilion yen in the six months period ending in February.

The company lifted its operating profit outlook to 121.5 billion yen from 113.5 billion yen and cut revenues estimate to 836 billion yen from 846 billion yen in the full year.

The company will also partner with Mitsubishi Corp to set up stores in Thailand.

GS Yuasa Corp soared 6.4% to 563 yen after the Nikkei newspaper said the company will supply lithium-ion batteries to PSA Peugeot Citroen.

Honda Motor declined 0.5% and Toyota Motor Cop increased 1.4% on the reports that auto exports resumed. Mitsubishi Motors increased 3.1%.

Izumi Co. added 6.5% to 1,250 yen after the shopping center operator said full-year net income increased 14% to 9.94 billion yen. The company will also buy back as much as 12.7% of all outstanding shares.

Mimasu Semiconductor Industry Co. soared 4.5% to 840 yen after the company said nine-month net income soared nearly six-fold to 1.86 billion yen from 347 million yen on 17% increase in sales.

Sanix Inc increased 12% to 223 yen after the sanitation services provider said March sales increased 17% to 3.35 billion yen from a year ago month.

Seven & I increased 1.9% after the operator of 7-Eleven stores swung to profit in the latest quarter ending in February.

Tokyo Electric Power Company soared 24% or its daily limit of 80 yen to 420 yen after the company said it plans to add 50 million kilowatts of power supply. The news was first was reported by Yomiuri new site.

Toyo Electric Manufacturing Co. increased 4.5% to 375 yen after the electric equipment maker swung to nine-month net income to 425 million yen on 18% increase in sales.