G20 Avoids Criticizing Yen Weakening, Nikkei Advance Resumes

Hiruki Nakamura
19 Apr, 2013
New York City

Markets in Tokyo advanced after Finance Minister Aso said G20 minister failed to criticize stimulus and the yen weakening. The yen is likely to weaken further and market indexes are expected to rise in the next two weeks as the earnings season gather momentum.

[R]5:30 PM Tokyo – Markets in Tokyo advanced after Finance Minister Aso said G20 minister failed to criticize stimulus and the yen weakening. The yen is likely to weaken further and market indexes are expected to rise in the next two weeks as the earnings season gather momentum.[/R]

Stocks in Tokyo traded higher after G-20 ministers failed to criticize the Japan’s monetary easing.

The yen weakened to 98.69 against one dollar.

The Nikkei 225 Stock Average gained 96.41 or 0.7% to 13,316.48 and the broader Topix Index rose 3.70 to 1,126.67.

With the tacit approval of the latest Japanese monetary easing from the G20 ministers, market watchers expect additional gains in the Nikkei in the next two weeks and the expectations of better earnings remain high.

A draft statement to be released at the end of meeting in Washington today is expected to avoid direct criticism of the stimulus, Finance Minister Taro Aso said.

Stocks in Review

Tokyo Electron gained 7% to 4,535 yen after chip-equipment maker reported full-year operating profit of 12.5 billion yen, ahead of expectations.

The online-game makers traded higher after Capcom Co Ltd surged 9% on the announcement that it will buy back as many as 1.5 million shares or 2.6% of all outstanding shares.

KLab Inc gained 6% and extended four-day rise to 68% after its ‘Lovelive’ game shot up to the top of the charts. In the last four sessions, Colopl Inc surged 46%.

Nomura fell 0.5% to 741 yen and Dai-Ichi Life Insurance slid 1.1%. Mitsui Fudosan up 1% and Mitsubishi Estate Co added 0.5%.

Toyota Motor Corp rose 50 yen to 5,480 yen and Honda Motor Co. fell 10 yen to 3,850 yen and Nissan Motor Co Ltd up 2 yen to 1,025 yen. Yamaha Motor Co Ltd jumped 40 yen to 1,346 yen. Mitsubishi Motors Corp added 1 yen to 102 yen.

Nippon Steel down 3 yen to 244 yen and JFE Holdings Inc rose 16 yen to 1,925 yen.

Sony gained 27 yen to 1,623. Canon Inc added 35 yen to 3,715 yen and Nikon climbed 48 yen to 2,173 yen. TDK Corp jumped 80 yen to 3,275 yen. NEC increased 3 yen to 260 yen.

Nintendo Co. Ltd added 30 yen to 11,490 yen.

Fanuc Corp. jumped 210 yen to 15,080 yen and Komatsu Ltd up 35 yen to 2,488 yen. Hitachi Construction Machinery Co fell 10 yen to 2,110 yen.

Softbank Corp rose 20 yen to 4,365 yen.

FamilyMart Co Ltd, the convenience chain operator gained 25 yen to 4,235 yen and Lawson declined 60 yen to 7,290 yen. Ito En Ltd fell 14 yen to 2,467 yen.

Seven & I Holdings Co gained 40 yen to 3,735 yen. Fast Retailing Co. closed unchanged at 33,500 yen and J. Front Retailing Co. Ltd slipped 14 yen to 807 yen.

Mitsubishi UFJ Financial Group slid 8 yen to 643 yen and Sumitomo Mitsui Financial Group dropped 60 yen to 4,395 yen. Dai-Ichi Life slid 1.1% to 128,000 yen. Nomura Holdings, Inc lowered 4 yen to 741 yen.