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LEAD: Tokyo stocks rise on final day, but suffer record loss of 42% in 2008+(Japan Economic Newswire Via Acquire Media NewsEdge) TOKYO, Dec. 30_(Kyodo) _ (EDS: ADDING DETAILS AND PRICES) Tokyo stocks rose Tuesday in the year's final, half-day session on optimism about the impact of economic stimulus measures in 2009, but the key Nikkei index ended 2008 with its steepest one-year percentage drop of 42.1 percent, reflecting investor sentiment battered by a string of macroeconomic and corporate woes. The 225-issue Nikkei Stock Average advanced 112.39 points, or 1.28 percent, from Monday to 8,859.56, recovering the 8,800 level for the first time since Nov. 11 on a closing basis. The broader Topix index of all First Section issues on the Tokyo Stock Exchange was up 4.47 points, or 0.52 percent, to 859.24. Both indexes rose for a fourth consecutive trading day, but wrapped up the year sharply lower than they ended the previous year. Japan's stock markets were open only for a half-day session Tuesday. Gainers were led by mining, rubber product and precision machinery issues. Major decliners included insurance, forestry and fishery, and real estate issues. "Expectations for policies from next year onwards remain strong," Kazuhiro Takahashi, general manager of the global product planning department at Daiwa Securities SMBC Co., said, referring to economy-boosting measures by key economies including Japan and the United States. Many market players believe these measures, already unveiled in the latter part of 2008, and more new actions to be carried out by the new U.S. administration led by Barack Obama, will lift market sentiment. Tokyo stocks were also buoyed by buying of oil and resource-related shares due to the rise of the benchmark crude oil futures in New York above $40 per barrel Monday, brokers said. U.S. crude oil surged as a result of growing geopolitical concerns following Israel's air strikes on the Hamas-ruled Gaza Strip. Inpex jumped 34,000 yen, or over 5 percent, to 698,000 yen, and trading house Mitsubishi advanced 34 yen, or nearly 3 percent, to 1,238 yen. On the First Section, advancing issues outnumbered declining ones 1,152 to 425, with 116 others finishing unchanged. But whether stocks' rise signals a long-term trend remains uncertain as the Tokyo market continues to face macroeconomic and corporate worries. "Sluggishness of the real economy has been factored in to a certain extent, but I do not know when such woes will bottom out," said Hiroichi Nishi, equities chief at Nikko Cordial Securities Inc. Nishi said there were other factors that could drag down Tokyo stocks such as deflation worries and the political confusion in Japan next year with uncertainty about whether or not a snap general election will be held. Lingering worries about the outlook for the Japanese and U.S. auto industries, especially in the wake of the uncertain fate of the ailing U.S. automakers, dampened some auto issues like Toyota Motor, which fell 30 yen, or over 1 percent, to 2,905 yen. A notable decliner was Yoshinoya Holdings, which dropped 3,900 yen, or over 3 percent, to 107,200 yen, after the restaurant chain operator said Monday it booked a group net loss of 839 million yen in the first three quarters of the current business year, a reversal from a profit of 1.55 billion yen a year earlier. Trading volume on the main section came to 853.97 million shares, up from Monday morning's 575.61 million. Battery maker GS Yuasa, the morning value and volume leader, lost 8 yen, or over 1 percent, to 535 yen on selling for quick profits. Investors have been snapping up battery and environment-related shares in anticipation they will be strong next year as the environment is expected to take center stage under the Obama administration. The TSE's Second Section index was up 9.11 points, or 0.47 percent, to 1,939.10 on a volume of 17.40 million shares. On the Osaka Securities Exchange, the near-term March Nikkei 225 index futures contract was up 80 points to 8,830. The Nikkei hit its highest closing level of 2008 -- 14,691.41 -- on Jan. 4, the first trading day of the year. Tokyo equities weakened after the Bear Stearns Cos. shock in March and were hit further by Lehman Brothers Holdings Inc.'s collapse in September. On Oct. 27, the Nikkei hit 7,162.90 -- its lowest closing level in 26 years, closing the day down more than 6 percent partly due to steep falls in Japan's banking shares. The day after, on Oct. 28, the Nikkei fell below the 7,000 line for the first time in 26 years on an intraday basis. Copyright ? 2008 Kyodo News International, Inc. |