Nikkei Edges Up, BoJ Left Policy Intact

Hiruki Nakamura
11 Jul, 2013
New York City

Markets in Tokyo and Asia were supported by positive reassurances from the U.S. Fed Chairman Bernanke. Bank of Japan left its monetary policy intact after a 2-day meeting. Photocreate Co soared 144% on its first day of trading.

[R]5:00 PM Tokyo – Markets in Tokyo and Asia were supported by positive reassurances from the U.S. Fed Chairman Bernanke. Bank of Japan left its monetary policy intact after a 2-day meeting. Photocreate Co soared 144% on its first day of trading.[/R]

In volatile trading, stocks in Tokyo opened higher but lost most of the gains in late afternoon trading after the yen strengthened and Bank of Japan left its monetary policy unrevised.

Stocks surged at the opening after the rate setting committee at the U.S. Fed Chairman reassured markets about the longevity of the stimulus. The reassurance bolstered market sentiment in Asia and in Tokyo.

The Nikkei 225 Stock Average gained 95.98 or 0.4% to 14,472.58 and the Topix edged inched lowered 0.43 to 1,194.77.

The yen edged higher in Tokyo trading for the second day to close at 99.39 against one dollar and exporters took a hit in Tokyo trading.

Machinery orders increased 10.5% in May from April, the Cabinet Office said today in Tokyo.

Stocks in Review

Photocreate Co soared 144% on its first day of trading after photographic-services provider began trading on Mothers market. The company provides photography services for sports events, concerts and festivals.

Toyota Motor Corp fell 10 yen to 6,380 yen and Nissan Motor Co Ltd added 4 yen to 1,092 yen.

Honda Motor Co. down 20 yen to 3,790 yen after the automotive company starts its new automobile plant in Thailand with an investment of 54.9 billion yen.

Sony rose 1 yen to 2,188 yen. Canon Inc dropped 50 yen to 3,330 yen and Nikon declined 86 yen to 2,228 yen.

Fanuc Corp jumped 100 yen to 14,860 yen.

Softbank Corp slipped 40 yen to 5,720 yen and said the company has today completed the acquisition of Sprint Nextel Corp. for 1.8 trillion yen or $21.6 billion.

Seven & I Holdings Co added 5 yen to 3,950 yen and Fast Retailing Co. gained 700 to 38,700 yen.

Mitsubishi UFJ Financial Group closed unchanged at 653 yen and Sumitomo Mitsui Financial Group lowered 30 yen to 4,715 yen.

Denso Corporation dropped 75 yen to 4,790 yen after the automobile parts maker plans to invest nearly $51.4 million to expand its operations and add 450 new jobs at its DENSO Mexico S.A. de C.V. in Silao, Guanajuato, Mexico.

The production is scheduled commences to start in October 2014.

Nippon Steel & Sumitomo Metal Corp slid 2 yen to 289 yen after the South Korean court ordered to pay compensation of 100 million won to four of its former Korean employee during Japan’s colonial rule of the peninsula.