The Japan share market advanced on Friday, 09 August 2019, as investors risk sentiments improved on tracking positive lead from Wall Street overnight and better than expected Japan's gross domestic product data for the April-June quarter. Around late afternoon, the 225-issue Nikkei Stock Average rose 108.97 points, or 0.53%, to 20,702.32, while the broader Topix index of all First Section issues on the Tokyo Stock Exchange added 5.68 points, or 0.38%, at 1,504.34.
Total 24 sectors out of 33 of the sectors of Topix index inclined, with Mining, Precision Instruments, Textiles & Apparels, Oil & Coal Products, and Nonferrous Metals issues being notable gainers, while Pulp & Paper, Securities & Commodities Futures, Glass & Ceramics Products, and Banks issues were notable losers.
On Wall Street, the S&P 500 registered its largest one-day percentage gain in about two months on Thursday, with the Dow and the Nasdaq also climbing more than 1%. However, that optimism was dented by the report, which has reinforced concerns the deterioration in U. S.-China relations will place additional strain on an already fragile global economy.
Japan's economy grew much faster than expected in April-June to mark the third straight quarter of expansion, as robust private consumption and business investment offset the hit to exports from cooling global demand. Gross domestic product (GDP) grew at an annualized 1.8% in the second quarter, the Cabinet Office's preliminary data showed on Friday.
It followed a revised 2.8% gain in January-March.
The Cabinet Office reported Friday Japan's gross domestic product or GDP the total value of a nation's goods and services was lifted by solid spending in the private sector as well as government investment, although exports faltered. Capital expenditure also rose 1.5% against the previous quarter, while private consumption grew 0.6%.
The upbeat data underscores the BOJ's view the world's third-largest economy will continue to expand moderately, as solid household and corporate spending ease the pain from soft global demand. The data offers some relief for the Bank of Japan, which is under pressure to follow other central banks and ramp up stimulus to head off heightening global risks.
CURRENCY NEWS: The U. S. dollar changed hands in the lower 106 yen zone in Tokyo on Friday. The Japanese yen traded at 106.01 against the dollar after seeing an earlier high of 105.71.
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