Nikkei Jumps 4.1% in January; Canon, Fujifilm, Toshiba in Focus

Nigel Thomas
31 Jan, 2012
New York City

Japanese market indexes closed flat and gained 4.1% in January. Honda reported worse than expected decline in earnings and Sumitomo Mitsui Financial reaffirmed annual net income outlook. Canon president resigned and Fujifilm lowered its annual view.

[R]8:30 PM Tokyo – Japanese market indexes closed flat and gained 4.1% in January. Honda reported worse than expected decline in earnings and Sumitomo Mitsui Financial reaffirmed annual net income outlook. Canon president resigned and Fujifilm lowered its annual view.[/R]

The market index in Japan closed nearly unchanged and for the month increased more than 4%.

Market logged its best January gain in more than a decade as investors focused on the outcome of the European Union summit. The yen edged up against the yen after the leaders in the Europe agreed to setting up a regional bailout fund.

The Nikkei 225 Stock Average rose 9.46 to 8,802.51 and the broader Topix index decreased 0.2% to 755.27. For the month, the Nikkei increased 4.1%.

In trading, stock volume on the First Section of the Tokyo Stock Exchange increased to 2.06 billion shares from 1.64 billion on Monday and 777 shares gained and 732 declined.

Japanese finance ministers pledged to fight against excessive market volatility and curb any additional gains in the yen.

The yen rose to a 3-month high against the dollar to 76.16.

Stock Movers

Toyota Motor increased 21 yen to 2,810 yen and Honda Motor Co. fell 16 yen at 2,666 yen and Nissan Motor Co Ltd decreased 7 yen to 719 yen. Suzuki Motor Corp rose 17 yen to 1,738 yen.

After the close, Honda estimated worse-than-expected 65% decline in annual profit to March.

Sony Corp increased 3 yen to 1,391 yen, Panasonic Corp fell 5 yen at 617 yen and Canon Inc closed down 145 yen to 3,290 yen. Nintendo Co. Ltd increased 110 yen to 10,270 yen.

Canon Inc declined 4.2% to 3,290 yen and the company said it president resigned.

Olympus Corp closed up 26 yen at 1,285 yen. Fujifilm Holdings Corp dropped 7% to 1,807 yen after it lowered its net income outlook and also proposed a capital and business partnership with Olympus.

Nikon Corp rose 5 yen to 1,866 yen, Fanuc Ltd closed up 130 yen to 12,810 yen and Kyocera rose 140 yen to 6,500 yen. Casio Computer Co., Ltd decreased 9 yen to 448 yen.

After the close, Toshiba Corp cut its operating profit outlook by a third to 200 billion yen and earlier in trading the stock declined 1.8% to 323 yen.

Mitsui O.S.K. Lines, Ltd increased 3 yen to 288 yen, Kawasaki Kisen Kaisha, Ltd rose 2 yen to 144 yen and Nippon Yusen K.K. increased 2 yen to 193 yen.

Tokyo Electric Power Company, Inc decreased 1 yen to 209 yen.

East Japan Railway Co increased 3.4% to 4,935 yen after the rail road operator revised its full-year operating profit outlook 13% to 347 billion yen.

Fast Retailing Co. increased 150 yen to 15,150 yen and J. Front Retailing Co. Ltd closed up 3 yen at 375 yen.

Mitsubishi UFJ Financial Group decreased 3 yen to 349 yen and Sumitomo Mitsui Financial Group closed up 36 yen at 2,425 yen after the company reaffirmed its full-year net income outlook and said it will buy back up to 80 billion yen of its stock.

Komatsu Ltd increased 1% to 2,149 yen, Hitachi Construction Machinery Co added 42 yen to 1,510 yen and Toyo Engineering Corp increased 2 yen to 319 yen.

Softbank Corp closed down 58 yen at 2,131 yen, KDDI Corp decreased 2.9% to 483,000 yen and NTT DoCoMo, Inc closed down 1% to 135,400 yen.