Japan Stocks Advance; Auto Sales Data

Mayank Mehta
02 Apr, 2010
New York City

Stocks in Japan closed higher as investors take optimistic view on the global economy. Manufacturing rebounded worldwide and exports volumes are rising from Asia. Sales of Japanese automakers in the U.S. rebound with Toyota sales surging 41%.

[R]8:00 PM Tokyo, Japan – Stocks in Japan closed higher as investors take optimistic view on the global economy. Manufacturing rebounded worldwide and exports volumes are rising from Asia. Sales of Japanese automakers in the U.S. rebound with Toyota sales surging 41%.[/R]

Stocks in Japan closed higher led by resource and logistics related companies after manufacturing expanded in China, Europe and UK.

Investors kept optimistic outlook for the global economic recovery and estimate that earnings and exports are on the rise.

The Nikkei 225 Index in Tokyo closed higher 154.46 or 1.39% to 11,244.40 and of the stocks in Nikkei 225 Stock Average, 138 increased, 72 declined and 15 was unchanged.

Dai-Ichi Life was the most active in trading and surged as much as 5% on the second day of trading.

Toyota March sales in the U.S. surged 41% on higher than normal discounts. Toyota sold more than 186,000 units, trailed by Honda sales of more than 108,000 and Nissan sales of more than 95,000.

Lexus brand sales increased 42% after Toyota ramped up discounts.

Asian makers increased their U.S. market share to 49% from 47.1% according to the data released by Autodata Corp based in New Jersey.

Hyundai Motor Co sales in the month increased 15% and Kia Motors Corp sales increased 23%. Mazda Motor Corp sales increased 5.5%, Subaru sales surged 46% and Mitsubishi Motor Corp sales gained 18%.

Suzuki sales declined 8.3%.

Nikkei Movers

Clarion Co Ltd led the decliners in the Nikkei 225 Stock Average with a loss of 2.7% followed by losses in Ajinomoto Co., Inc of 2.3%, in Taiheiyo Cement Corp of 2.2%, in Mitsubishi Logistics Corporation 2.0% and in Japan Tobacco Inc 1.8%.

JX Holdings Inc led gainers in the Nikkei 225 Stock Average with a rise of 12.4% followed by gains in Showa Shell Sekiyu K.K 5.0%, in Meidensha Corp of 4.4% and in Sumitomo Electric Industries, Ltd 4.3%.

Other Movers

Dai-Ichi Life Insurance surged as much as 5% but closed up 1.6%.

Honda Motor Co., Ltd rose 1.3% to 3,335.00 yen after the company said March U.S. vehicle sales increased 17.8%. In the month sales increased to 108,262 units from 88,379 a year ago month. March sales in Japan China soared 33% to 61,200 and in Japan increased 51%.

Japan Tobacco Inc decreased 2.0% to 340,500.00 yen.

JX Holdings Inc surged 12.4% to 523.00 yen after the energy company was upgraded to “buy” at Nomura Holdings Inc.

Mitsui & Co Ltd rose 1.5% to 1,624.00 yen after the trading house announced that it has acquired all shares of Trinet Logistics Co,Ltd. common stock, through stock swap, effective April 1.

Nissan added 1.1% to 822 yen after it reported U.S. sales in March increased to 95,468 from 66,634 in a year ago month.

Sumitomo Electric Industries, Ltd advanced 4.2% to 1,222.00 yen after the company expects profit on higher sales to automakers.

Toyota Motor Corporation added 1.4% to 3,775.00 yen after its U.S. unit sales in March increased 41% to 186,863 from a year ago.