Resurgent Yen Keeps Rebound In Japan Indexes In Check After Two Days of Slide

Akira Ito
28 Nov, 2024
Tokyo

Bargain hunting was in full swing in Tokyo as investors returned and looked for stocks in the tech, retail, and property sectors. 

The Nikkei 225 stock average increased 0.7%, the Topix index advanced 0.8%, and the yen advanced to a one-month high. 

The yen edged up 0.3% to 151.24 on widespread speculation that the Bank of Japan is likely to raise rates by 25 basis points at the end of its policy in three weeks. 

Stronger yen boosts the values of Japanese assets but lowers foreign earnings of corporations, and about 40% of the listed companies in Japan have significant export revenues. 

Crude oil continued to drift lower ahead of the OPEC+ meeting on Sunday, and commodity traders are looking for the group to postpone January's planned production increase amid weak demand growth and supply glut. 

Japan imports about 99% of its crude oil, and fossil fuels provide about 88% of the country's energy. 

 

Japan Stock Movers 

The Nikkei 225 Stock Average increased 0.7% to 38,408.78, and the broader Topix index added 0.8% to 2,687.26. 

T&D jumped 12.7% to ¥2,821.50 after the company made positive statements about its life insurance business at a meeting with investors on Wednesday. 

The company reiterated its plans to pay a cash dividend of 80 yen per share in the current fiscal year. 

Dai-ichi Life Holdings increased 3.2% to ¥3,906.0, and Tokio Marine Holdings decreased 0.5% to¥5,541.0. 

Among the widely held stocks, Casio Computer jumped 6.5% to ¥1,138.50, Toho Co. Ltd. advanced 2.2% to ¥6,322.0, and Tokyo Gas Co. Ltd. increased 1.3% to ¥4,429.0. 

Stocks leading the decliners included pharma stocks, select tech stocks, and industrial conglomerates. 

Sumitomo Pharma decreased 3.2% to ¥583.0, Ricoh Co. Ltd. fell 4.5% to ¥1,672.0, and Mitsubishi Electric eased 0.1% to ¥2,545.0. 

Seven & I Holdings Co. Ltd. increased 1.2% to ¥2,608.0, Isetan Mitsukoshi advanced 1.1% to ¥2,173.0, and the parent company of Uniqlo, Fast Retailing, decreased 0.2% to ¥51,090.0.