Tokyo stocks soar

08 Nov, 2016

Tokyo stocks rose Monday on news that market-favourite Hillary Clinton would not face criminal charges over her use of a private email server, easing worries over her US presidential bid. FBI Director James Comey left unchanged his July recommendation that the Democratic nominee not be prosecuted for putting US secrets at risk while serving as secretary of state.
His announcement last month that the FBI was checking newly discovered emails had cast a cloud over the Clinton campaign in the runup to Tuesday's election, while energising that of Republican rival Donald Trump. Financial markets, which fear the uncertainty surrounding a possible Trump victory, were thrown into turmoil last week by the news. But they recovered their footing Monday.
"'President Trump risk' has receded, and market sentiment is getting back to normal," said Toshiyuki Kanayama, a Tokyo-based senior market analyst at Monex Inc. The benchmark Nikkei 225 index gained 1.61 percent, or 271.85 points, to finish at 17,177.21 while the broader Topix index was up 1.17 percent, or 15.76 points, at 1,362.80.
Carmakers rose on the weaker yen, which boosts exporters' profitability. Toyota gained 1.98 percent to 5,810 yen while rival Nissan was up 1.73 percent at 1,029 yen. Nissan reports its financial results later in the day. Suzuki Motor jumped 7.19 percent to 3,831 yen after it upgraded its full-year earnings forecast. Financial stocks also rose, with Mitsubishi UFJ Financial Group jumping 1.92 percent to 529.4 yen and Sumitomo Mitsui Financial Group up 1.20 percent at 3,540 yen.

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