Tokyo's Nikkei closes up two percent

19 Jul, 2019

The Nikkei 225 index jumped 2.0 percent, or 420.75 points, to end at 21,466.99. Over the week, it lost 1.0 percent.

The broader Topix index rose 1.94 percent, or 29.69 points, to 1,563.96. Over the week, it was down 0.78 percent.

"Tokyo stocks steadily grew on the back of the gains on US shares and also as the appreciation of the yen took a breather," Okasan Online chief strategist Yoshihiro Ito said in a note.

With lingering disquiet about the US-China trade war, Wall Street rose barely out of the red on Thursday on hopes for lower interest rates in the United States.

A top Fed policymaker, New York Federal Reserve President John Williams, reiterated the signal that the US central bank was likely to cut interest rates later this month, shoring up stocks and weakening the dollar.

In individual stocks trade, Sony rose 1.70 percent to 5,838 yen and Toyota climbed 2.09 percent to 7,121 yen.

The dollar was trading at 107.61 yen, up from 107.30 yen in New York Thursday afternoon but still down from 107.67 yen when the Tokyo market closed on Thursday.

The yen hardly moved after government data showed Japanese consumer prices rose at the slowest pace in nearly two years in June despite the Bank of Japan's massive credit-easing aimed at achieving two-percent inflation.

The nation's core consumer prices, excluding volatile fresh food prices, rose 0.6 percent from a year earlier in June, a rise for the 30th consecutive month but the slowest pace since July 2017.

Copyright AFP (Agence France-Press), 2019
 

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