Nikkei advances to 21-yr high, robust earnings brighten mood

TOKYO: Japanese stocks yet again scaled a 21-year high on Wednesday, cheered by booming profits for Japan Inc. including exporters such as Sony and Nitto Denko.

The Nikkei closed up 1.86 per cent at 22,420.08 after reaching 22,455.92, the highest since July 1996.

Sony Corp soared as much as 12.3 per cent to a nine-year high after the Japanese electronics and entertainment firm forecast its best ever annual profit.

Sony raised its full-year operating profit forecast by 26 per cent to 630 billion yen ($5.5 billion), citing strong sales of image sensors as well as high-end television sets.

Industrial tape maker Nitto Denko rallied 6.3 per cent after it raised its annual net profit forecast to 98 billion yen ($861 mln) from 70 billion yen, thanks in part to strong sales for optical films used smartphone displays.

Tokyo Electron jumped as much as 13.9 per cent, touching a record high, after the producer of semiconductor manufacturing equipment raised its net profit forecast for the year through March 2018 to 198 billion yen ($1.74 billion) from 163 billion yen.

The broader Topix gained 1.17 per cent to 1,786.71. All of its 33 subsectors were in positive territory, led by oil and coal products, air transport and mining.