Nikkei in Tokyo Trades at 8-Month High

Nigel Thomas
12 Dec, 2012
New York City

Stocks in Tokyo held gains after North Korea successfully launched long-range rocket in defiance of international sanction. Defense contractors gained. The yen edged lower and resource sector stocks advanced after iron ore price rose.

[R]7:00 PM Tokyo – Stocks in Tokyo held gains after North Korea successfully launched long-range rocket in defiance of international sanction. Defense contractors gained. The yen edged lower and resource sector stocks advanced after iron ore price rose.[/R]

Stocks in Tokyo trading held gains after North Korea successfully launched a long-range rocket in defiance of international sanctions.

The surprise rocket launch turned market sentiment cautious but failed to dent the optimism on the improving economic indicators from China and Germany.

Investors also expect the U.S. Fed to offer new stimulus program to continue to support the slow and uneven economic growth. At home, investors are also looking for more central bank actions as the lower yen weighed on the market.

The Nikkei 225 Stock Average climbed 56.14 or 0.6% to 9,581.46 and the broader Topix Index gained 5.22 to 791.29.

The yen edged lower and closed at 82.84 against one dollar.

Stocks in Review

Defense contractors jumped after North Korea successfully launched a rocket according to the governments of Japan and South Korea.

IHI Corp, the maker of rocket propulsion system gained 2.7% to 188 yen. Fuji Heavy Industries Ltd, the maker of aircraft parts added 2.9% to 918 yen.

Osaka Securities Exchange soared 7.6% to 407,000 yen after surging as much as 19% today after the Financial Services Agency approved the merger with the rival. The merged entity will be named Japan Exchange Group and will list on the Tokyo Stock Exchange.

Kansai Electric Power slipped 7 yen to 749 yen and Tokyo Electric Power Co added 2.2% to 141 yen. Shikoku Electric gained 14 yen to 1,130 yen and Chubu Electric Power Co increased 14 yen to 1,055 yen.

Toyota Motor Corp. advanced 30 yen to 3,560 yen and Honda Motor Co. climbed 36 yen to 2,749 yen and Nissan Motor Co Ltd added 6 yen to 771 yen. Mazda Motor Corp increased 5 yen to 136 yen. Isuzu Motors Ltd rose 1 yen to 482 yen.

Nippon Steel up 1 yen to 186 yen and JFE Holdings Inc climbed 23 yen to 1,344 yen. Tokyo Steel Manufacturing closed unchanged at 303 yen.

All Nippon Airways down 1.1% to 176 yen and. JAL jumped 90 yen to 3,805 yen.

Fujikura Ltd down 1 yen to 233 yen and TDK climbed 105 yen to 3,150 yen. Murata Manufacturing Co gained 45 yen to 4,745 yen and Meiko Electronics Co Ltd slumped 1.4% or 714 yen.

Shimano Inc increased 100 yen to 5,770 yen.

Oki Electric Industry added 3 yen to 87 yen, Ricoh Co Ltd jumped 32 yen or 4.4% to 768 yen, Sony Corp climbed 25 yen to 833 and Seiko Epson Corp increased 19 yen to 509 yen.

Canon Inc advanced 78 yen to 3,075 yen and Nikon climbed 59 yen to 2,256 yen.

Canon gained 2.5% after the camera maker said it will cut operating costs by 70 billion yen to 80 billion yen in the next financial year through lower inventories and increased automation, according to a report by Nikkei.

Olympus Corp. up 8 yen to 1,388 yen and Nintendo Co. Ltd jumped 70 yen to 8,940 yen, Fujitsu added 3 yen to 297 yen and Pioneer Corp. gained 4 yen to 212 yen. Sharp Corp surged 17 yen or 7.8% to 235 yen. Panasonic Corp soared 30 yen or 7.2% to 446 yen.

Fanuc Corp. increased 100 yen to 14,340 yen and Komatsu Ltd gained 9 yen to 1,887 yen. Hitachi Construction Machinery Co climbed 24 yen to 1,488 yen.

Sumitomo Heavy jumped 14 yen or 4.1% to 358 yen.

FamilyMart Co Ltd, the convenience chain operator declined 35 yen to 3,705 yen and Lawson closed unchanged at 5,770 yen. Ito En Ltd increased 18 yen to 1,562 yen.

Seven & I Holdings Co slipped 3 yen to 2,439 yen.

Fast Retailing Co. advanced 150 yen to 19,790 yen and J. Front Retailing Co. Ltd added 1 yen to 411 yen.

Mitsubishi UFJ Financial Group up 1 yen to 378 yen and Sumitomo Mitsui Financial Group gained 19 yen to 2,698 yen. Nomura Holdings, Inc increased 9 yen to 350 yen.

Mitsui O.S.K. Lines, Ltd added 5 yen to 205 yen and Nippon Yusen K.K. up 3 yen to 170 yen.