Japanese shares likely to rise

Tokyo shares are likely to rise next week as news of European leaders striking a deal on the eurozone crisis and some positive signs for Japan's economy boost sentiment, dealers said Friday. In the week to June 29, the Nikkei 225 index at the Tokyo Stock Exchange gained about 2.4 percent, or 208.43 points, to 9,006.78.
The broader Topix index of all first-section shares rose 2.6 percent, or 19.16 points, to 770.08.
Japanese stocks jumped 1.50 percent on Friday, ending above the 9,000
level, after EU president Herman Van Rompuy said the eurozone would make a more "flexible" use of its rescue funds in order "to reassure markets and to get again some stability around the sovereign bonds of our member states."
Such action would be reserved for "well-behaving" nations, he added.
Toshihiko Matsuno, research head at SMBC Friend Securities, said investors see positive signs for Japan's economy after a drop in May's unemployment rate and strong household spending, although weaker factory output weighed.
"If the yen gets weaker that would be even better, but the Japanese economy is still showing some strength," Matsuno told AFP. Matsuno said the Nikkei could rise as high as the 9,400 level.