Japan share market finished session sharp higher on Thursday, 17 March 2022, as risk appetite buying across the board on tracking overnight gains on Wall Street following a widely anticipated U. S. interest rate hike. Meanwhile, buying momentum spirited on hopes for Ukrainian-Russian negotiations, weakening yen to upper 118 level against greenback, and expectation that the Bank of Japan to keep interest rates on hold in the current monetary policy review.
At closing bell, the 225-issue Nikkei Stock Average surged by 890.88 points, or 3.46%, to 26,652.89. The broader Topix index of all First Section issues on the Tokyo Stock Exchange added 45.76 points, or 2.47%, to 1,899.01.
All 33 TSE issues advanced, with top performing industry categories were Precision Instruments, Machinery, Electric Appliances, Chemicals, Glass & Ceramics Products, and Nonferrous Metals issues.
Market sentiments underpinned as investors took in stride the long-expected start of a U. S. monetary tightening. The Federal Reserve increased rates by a quarter points, as expected, and telegraphed equivalent hikes at every meeting for the remainder of this year.
Meanwhile, buying momentum underpinned further on yen weakening against greenback along with expectation that the Bank of Japan to keep interest rates on hold in the current monetary policy review concluding on Friday amidst comments from BoJ Governor Haruhiko Kuroda that Japan was unlikely to see inflation hitting the 2% target, despite rising energy costs.
Leading the upside were plumbing-fixtures maker TOTO, up 8.5%, followed by Japan Steel Works, up 7.7%, and then industrial-robot maker FANUC, up 7.1%.
On the slender downside were East Japan Railway, off 1.8% after an earthquake struck eastern Japan, and game-maker Bandai Namco, off 1.7%.
ECONOMIC NEWS: Japan Core Machine Orders Up 5.1% On Year In January- Japan core machine orders was up 5.1% on year in January, the Cabinet Office said on Thursday, coming in at 899.6 billion yen, and unchanged from December's annual reading. On a seasonally adjusted monthly basis, core machine orders were down 2.0% after slipping 3.6% in December. For the first quarter of 2022, core machine orders are forecast to fall 0.5% on quarter but rise 8.3% on year. Manufacturing orders were down 4.8% on month and up 18.7% on year at 432.2 billion yen, while non-manufacturing orders slid 1.9% on month and 7.0% on year to 452.9 billion yen. The total value of machinery orders received by 280 manufacturers operating in Japan fell 3.3% on month and climbed 14.7% on year in January.
CURRENCY NEWS: The dollar weakened a little after rising close to 119 yen in Tokyo on trading Thursday. At 5 p.m., the dollar stood at 118.68-69 yen, up from 118.36-37 yen at the same time on Wednesday.
Powered by Capital Market - Live News
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)
Dear Reader,
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.
Digital Editor
RECOMMENDED FOR YOU