Indexes in Japan Rebound 2%; Hitachi and NTN Surge

Hiruki Nakamura
15 Jan, 2014
New York City

Stocks in Tokyo rebounded after the yen reversed its three-day advance. Market indexes jumped at least 2% after Topix dropped the most since August. Bearings makers and Hitachi Ltd jumped on earnings expectations.

[R]4:30 PM Tokyo – Stocks in Tokyo rebounded after the yen reversed its three-day advance. Market indexes jumped at least 2% after Topix dropped the most since August. Bearings makers and Hitachi Ltd jumped on earnings expectations.[/R]

Stocks in Tokyo gained after the yen reversed its earlier strength and eased against the dollar.

The yen declined 0.2% after rising 1.2% in the last three sessions and investors brushed aside the worries linked to rising valuation for the day.

The Nikkei 225 Stock Average climbed 386.33 or 2.5% to 15,808.73 and the Topix index jumped 25.44 or 2% to 1,294.52.

The yen closed fell at 104.43 against the U.S. dollar.

Stocks in Review

Toyota Motor Corp jumped 91 yen to 6,235 yen. Honda Motor Co gained 35 yen to 4,150 yen.

Nissan Motor Co Ltd rose 4 yen to 942 yen and the auto maker confirmed the new crossover model of Qashqai will be launched at the Wearside factory on January 22 in U.K0.

Total Qashqai production in the U.K. now stands at 1,752,232 since 2006.

Sony increased 15 yen to 1,808 yen.

Softbank Corp advanced 122 yen to 8,863 yen and the company led the $120 million investment in China’s largest mobile app store operator Wandoujia.

Fast Retailing Co climbed 740 yen to 39,755 yen.

Japan Airlines Co Ltd rose 70 yen to 5,300 yen the Japan-based airline company said Boeing 787 Dreamliner remained grounded at Narita International Airport, Tokyo on Wednesday.

White smoke was spotted outside the plane and cockpit warning lights indicated potential problems in the main battery.

Toshiba Corporation surged 4.6% to 483 yen won order to supply three nuclear reactors to British power company NuGen. The deal valued at about 1.5 trillion yen or $14.37 billion.

The company today also agreed to acquire 60% of NuGen nuclear joint venture between France-based GDF Suez and Spain-based Iberdola for a total of $164 million or £100 million.

Tokyo Electric Power Co Inc rose 1.2% to 497 yen and plans to cut costs by 650 billion yen per year equivalent to 25% of its annual expenses to import natural gas with lower price and upgrade the older plants.

The company won support from the government and banks to rebuild its business.