Nikkei Struggled in Tokyo Trading, Nitto Denko Surges

Hiruki Nakamura
24 Nov, 2015
New York City

Nikkei in Tokyo edged higher in listless trading and corporate news dominated trading sentiment in the absence of economic development. Nitto Denko jumped after its drug treatment for liver fibrosis won a favourable designation from the U.S. drug regulator.

[R]4:30 PM Tokyo – Nikkei in Tokyo edged higher in listless trading and corporate news dominated trading sentiment in the absence of economic development. Nitto Denko jumped after its drug treatment for liver fibrosis won a favourable designation from the U.S. drug regulator.[/R]

Markets in Tokyo edged higher after the volatile trading on dip-buying and profit-taking due to yen's firmness against US dollar.

The gainers comprised stocks in pharmaceutical, retailer and marine transporters while losers were insurance, air transportation, utility provider and banks.

In corporate news, Sharp stock surged 14% after the Kyodo News said the government fund may invest in the company, if it’s main creditors Mizuho and Bank of Tokyo-Mitsubishi UFJ to waive their debts.

Nitto Denko jumped after said its drug for the treatment of liver fibrosis was granted on fast track designation by the U.S. Food and Drug Administration.

The Nikkei 225 Stock Average rose 45.08 or 0.2% to 19,924.89 and the broader Topix index edged up 2.76 to 1,605.94.

The yen weakened to 122.73 against a dollar.

Stocks in Review

DyDo Drinco Inc fell 0.7% to 5,420 yen after the beverages maker reported net sales in the third-quarter ending in October slid 0.8% from a year ago to 114.76 billion yen.

Net income in the quarter plunged 38.2% to 1.92 billion yen compared to 3.11 billion yen and diluted earnings per share slumped to 115.93 yen from 187.46 yen.

Nippon Life Insurance Company, the insurance company increased its stake of 49% from 26% for about 42.1 billion yen or $348 million in India-based Reliance Life Insurance Company Limited, a unit of Reliance Capital Limited.

Planet, Inc gained 0.9% to 1,488 yen after the construction company said net sales in the first-quarter ending in October jumped 4.2% from a year ago to 730 million yen.

Net income in the quarter declined 14.1% to 107 million yen compared to 124 million yen and diluted earnings per share dropped to 16.16 yen from 18.80 yen.

Sharp Corporation surged 13.6% to 150 yen after the Kyodo News said if banks agreed to write off an unspecified amount of electric and electronic equipment maker, the government fund the Innovation Network Corporation agreed to invest in the struggling company.