Rate and Yen Speculation Continues to Dictate Stock Market Moves In Tokyo

Akira Ito
09 Oct, 2024
Tokyo

Stocks in Tokyo advanced following the gains in broader market indexes in overnight trading on Wall Street. 

The Nikkei 225 stock average gained nearly 1%, but the broader Topix index lagged with a rise of 0.3% as the tech rally in Tokyo failed to spread to other sectors. 

Market optimism was also supported by the further weakness in the yen, and the Japanese currency eased to 148.48 against the U.S. dollar. 

The Japanese officials attempted to limit the rapid decline in the currency by reminding investors that the central bank is ready to step in to arrest the swift decline in the currency. 

Despite the jawboning by Japanese officials, investors are anticipating the yen to fall as low as 158 against the dollar, which could provide an additional boost to the stock market. 

 

Japan Stock Movers 

The Nikkei 225 Stock Average increased 0.9% to 39,277.96, and the roader Topix index gained 0.3% to 2,707.24. 

Tech stocks traded higher for the second day this week following the surge in New York. 

Tokyo Electron increased 1.2% to ¥25,770.0, Advantest gained 3.7% to ¥7,639.0, and Lasertec added 4.4% to ¥24,670.0. 

Retailers were in focus again after the recent weakness in the yen raised hopes of a boost in store sales. 

Seven & I Holdings increased 4.5% to ¥2,335.0, Fast Retailing added 1.1% to ¥50,710.0, and Isetan Mitsukoshi declined 0.4% to ¥2,334.50. 

Seven & I Holding jumped after a Bloomberg News report suggested that Canada-based Couche-Tard revised its takeover offer to $47 billion from the $38 billion original offer. 

Seven & I operates a chain of 85,000 convenience store chains in 20 countries.