Nikkei Extends Rally to 5th Day; Marubeni in a Wind Power Deal

Nigel Thomas
19 Mar, 2012
New York City

Stocks in Tokyo advanced for the fifth day in a row and the yen struggled near 11-month low. Utilities were in focus after Osaka City is said to demand Kansai Electric to shutdown all 11 nuclear power plants. Marubeni is in a deal buy wind power engineering company.

[R]8:00 PM Tokyo – Stocks in Tokyo advanced for the fifth day in a row and the yen struggled near 11-month low. Utilities were in focus after Osaka City is said to demand Kansai Electric to shutdown all 11 nuclear power plants. Marubeni is in a deal buy wind power engineering company.[/R]

Market averages in Tokyo extended gains for the fifth session in a row after investors focused on large exports driven companies as the yen struggled near 11-month low and mildly upbeat global economic upbeat assessment from the IMF chief.

The Nikkei 225 Stock Average gained 0.1% to close at 10,142.00 and the broader Topix index increased 0.1% to 868.35.

The dollar eased to 83.31 after trading at 11-month high to 84.18 yen.

IMF chief Christine Lagarde said on Sunday that the global economy has avoided the financial storm and there are early indications of stabilization from the euro zone and the U.S.

Stock Movers

Toyota Motor closed down 5 yen to 3,575 yen and Honda Motor Co. decreased 20 yen to 3,255 yen and Nissan Motor Co Ltd rose 4 yen to 891 yen.

Automotive tires markets rebounded a day after the Associations of Natural Rubber Producing Countries estimated shortage of natural rubber as demand from China and India improve.

Yokohama Rubber Co. increased 0.5% to 586 yen and Bridgestone Corp fell 1.1% to 2,027 yen.

Sony Corp decreased 18 yen to 1,814 yen, Panasonic Corp gained 8 yen to 780 yen and Canon Inc closed down 35 yen to 3,935 yen. Nintendo Co. Ltd decreased 50 yen to 12,500 yen.

Olympus Corp decreased 19 yen to 1,335 yen, Nikon fell 3 yen to 2,462 yen and Fanuc Ltd closed up 300 yen to 15,500 yen.

Kansai Electric declined 4.2% to 1,330 yen after broadcaster NHK reported that Osaka City may ask company to decommission all 11 nuclear power plants at its June shareholder meeting.

Tokyo Electric Power Co fell 3.6% to 217 yen after Nikkei reported that the utility operator may be forced to seek funds from the Nuclear Damage Liability Facilitation.

Mitsui O.S.K. Lines, Ltd fell 2 yen to 381 yen, Kawasaki Kisen Kaisha, Ltd closed up 2 yen to 183 yen and Nippon Yusen K.K. fell 1 yen to 266 yen.

Marubeni Corp increased 2.7% to 643 yen after Nikkei newspaper reported that the company and a state-controlled investment fund will pay $850 million for a UK based wind power engineering company Seajacks International.

Fast Retailing Co. decreased 10 yen to 17,700 yen and J. Front Retailing Co. Ltd closed up 10 yen to 442 yen.

Mitsubishi UFJ Financial Group increased 5 yen to 445 yen and Sumitomo Mitsui Financial Group increased 38 yen to 2,924 yen. Nomura Holdings, Inc gained 9 yen to 413 yen.

Tokyo Tatemono Co., Ltd fell 5 yen to 345 yen and Mitsui Fudosan rose 2 yen to 1,658 yen and Sumitomo Realty & Development Co. unchanged to 2,032 yen.

Komatsu Ltd soared 71 yen to 2,508 yen, Hitachi Construction Machinery Co increased 6 yen to 1,908 yen and Toyo Engineering Corp closed up 9 yen at 376 yen.

Nippon Steel fell 1 yen to 240 yen and JFE Holdings Inc increased 2.5% or 46 yen to 1,871 yen.