Tokyo Extends Gains, Tokai Carbon Plunges 18%

Nigel Thomas
07 Aug, 2012
New York City

Stocks in Tokyo advanced for the second day in a row in lock steps with the world markets ahead of the announcements from the Bank of Japan and economic releases from China. A glitch in futures market affected trading.

[R]7:00 PM Tokyo – Stocks in Tokyo advanced for the second day in a row in lock steps with the world markets ahead of the announcements from the Bank of Japan and economic releases from China. A glitch in futures market affected trading.[/R]

Stocks in Tokyo traded higher for the second day in a row and in lock step with the gains in global markets. Mixed earnings dampened the sentiment but lighter than average trading volume exaggerated the moves.

A trading glitch in the futures market on the Tokyo Stock Exchange affected derivatives trading in the morning session but cash market was unaffected. The moves in the market were amplified after lower than usual volume in the cash and futures market.

The Nikkei 225 Stock Average increased 77.02 to 8,803.31 and the broader Topix index gained 7.97 or 1% to 743.70.

In trading, turnover improved to 1.84 billion shares from 1.78 billion shares on Thursday.

Stock Movers

Tokai Carbon Co Ltd dropped 18% or 58 yen to 262 yen after the rubber company lowered fiscal year outlook and cited weak demand in China and Europe.

Honda Motor Co. increased 29 yen to 2,499 yen and Nissan Motor Co Ltd gained 14 yen to 768 yen after U.S. monthly sales increased more than expected.

Canon Inc increased 23 yen to 2,811 yen, Seiko Epson Corp added 2.8% to 520 yen and Ricoh Co Ltd rose 1.7% to 608 yen. Sony Corp closed up 7 yen at 904.

Panasonic Corp fell 3 yen to 568 yen, Toshiba increased 9 yen to 269 yen, Nikon gained 13 yen to 2,212 yen and Sharp rose 1.1% to 183 yen.

Nintendo Co. Ltd closed unchanged at 8,330 yen and Fujitsu fell 0.3% to 303 yen.

Horiba, Ltd dropped its daily limit of 18% or 500 yen to 2,253 after the measuring equipment maker lowered its fiscal year operating earnings outlook.

Fanuc Ltd advanced 40 yen or 0.3% to 12,190 yen, Komatsu Ltd gained 33 yen to 1,680 yen and Hitachi Construction Machinery Co increased 27 yen to 1,422 yen.

Nippon Sheet Glass Co Ltd closed unchanged after extended losses on the second day in a row by 6.7% to 56 yen after it lowered full-year sales estimate by 5%.

Yamada Denki increased 1% or 40 yen to 3,985 yen. Nitori Holdings Co gained 20 cents to 7,560 yen, apparel retailer Shimamura fell 0.3% to 8,960 yen and Sagami Co fell 3 yen to 100 yen.

Fast Retailing Co. gained 190 yen to 16,840 yen and J. Front Retailing Co. Ltd closed up 5 yen at 395 yen.

Maruha Nichiro Holdings soared 13% but settled higher 9% or 10 yen to 124 yen after the marine products company said it will buy back up to 3% of its stock.

Kajima Corp added 6 yen to 224 yen and Taisei Corp closed unchanged at 214 yen. Sekisui House Ltd increased 7 yen to 739 yen and Daito Trust Construction Co Ltd fell 0.8% to 7,750 yen.

Tokyo Tatemono Co., Ltd gained 8 yen to 290 yen and Mitsui Fudosan slid 5 yen to 1,541 yen and Sumitomo Realty & Development Co. slumped 20 yen to 1,975 yen.

Kansai Electric Power Company, Inc surged 61 yen or 10.4% to 646 yen.

Inpex Corp increased 2.2% to 455,500 yen and Japan Petroleum Exploration Co. gained 81 yen to 2,993 yen.

Mitsui O.S.K. Lines, Ltd added 9 yen to 227 yen, Kawasaki Kisen Kaisha, Ltd rose 3 yen to 112 yen and Nippon Yusen K.K. up 4 yen to 174 yen.

Mitsubishi UFJ Financial Group rose 3 yen to 378 yen and Sumitomo Mitsui Financial Group increased 19 yen to 2,538 yen. Nomura Holdings, Inc added 2 yen to 281 yen.

Tokio Marine advanced 42 yen to 1,848 yen and Mito Securities rose 1.5% to 139 yen.

Credit Saison Co Ltd added 5 yen to 1,824 yen.

Nippon Steel gained 8 yen to 161 yen and JFE Holdings Inc increased 49 yen or 4.9% to 1,044 yen.