TOKYO: Japan’s Nikkei share average rose on Wednesday, with tech stocks tracking their US peers higher, while shares of 7-Eleven owner and takeover target Seven & i Holdings jumped following a media report of a sweetened bid.
The Nikkei climbed 0.58% to 39,172.30 by 0204 GMT, with chip-sector and other high-tech names making up four of the top five points gainers.
The broader Topix was flat, with an advance for an sub-index of growth shares cancelled out by a drop in value shares.
Seven & i, which is fending off an approach from Circle K-owner Alimentation Couche-Tard, jumped as much as 11.77% after Bloomberg reported the Canadian retailer was preparing to raise its offer to about $47 billion.
It last traded 4.1% higher.
Japanese retailers are reporting earnings this week, with both Seven & i and Uniqlo-owner Fast Retailing due to announce their results after the closing bell on Thursday.
Fast Retailing was the Nikkei’s second-biggest points gainer on Wednesday with a 0.76% rise, mainly due to its extremely heavy weighting in the index.
Nvidia supplier Advantest took the top spot, rallying 3.05%.
Also in the top five were chip-making equipment giant Tokyo Electron, AI-focused startup investor SoftBank Group and staffing agency Recruit Holdings, which rose 1.1%, 0.91% and 1.54%, respectively.
Nomura raised its year-end forecast for the Nikkei to 40,000 from 38,000, “supported by end to deflation (and) corporate governance reforms,” while “economic and policy risks” look likely to recede in the near term, analysts Tomochika Kitaoka and Naoya Fuji said in a report.
Nikkei snaps 3-day winning run on Wall St slump
Nikkei losers actually outnumbered winners on Wednesday, with 128 of the index’s 225 components falling versus 94 that rose, with three flat.
Energy companies were the top losers among sectors amid a retreat in crude oil prices.
Refiners Idemitsu Kosan and Inpex were the Nikkei’s bottom performers, sliding 3.51% and 3.18%, respectively.
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