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Stocks Morning UPDATE1(Japan Economic Newswire Via Acquire Media NewsEdge) TOKYO, May 20 -- (Kyodo) _ (EDS: ADDING DETAILS, PRICES) Tokyo stocks rose Monday morning, with the Nikkei hitting its highest point in five years and five months as expectations of better corporate earnings were bolstered by the yen's further slide following the release of rosy U.S. economic data. The 225-issue Nikkei Stock Average ended the morning session up 208.89 points, or 1.38 percent, from Friday at 15,347.01, after climbing to as high as 15,356.31. The broader Topix index of all First Section issues on the Tokyo Stock Exchange was up 17.29 points, or 1.38 percent, at 1,270.53. Gainers were led by sea transport, utilities and oil shares while decliners included the real estate, pharmaceutical and banking sectors. "Despite a sense of overheating, the trend of the yen's drop versus the dollar is again boosting hopes that firms will upgrade their earnings (outlook)," said Hiroichi Nishi, assistant general manager of equity research at SMBC Nikko Securities Inc., adding the market also benefited from rising global equities after the Dow Jones Industrial Average and Germany's Dax index hit record highs last Friday. The dollar changed hands in the upper 102 yen range, up from the lower to the mid-102 yen level seen Friday in Tokyo on a sound economic outlook in the United States following the release of a better-than-expected consumer sentiment index for May, brokers said. Among export-oriented shares, Toyota Motor gained 140 yen, or 2.2 percent, to 6,610 yen and Mitsubishi Motors soared 16 yen, or 12.3 percent, to 146 yen. Electronics maker Sony climbed 120 yen, or 5.9 percent, to 2,166 yen while semiconductor testing equipment maker Advantest rose 57 yen, or 3.3 percent, to 1,769 yen. On the second stage of Japan's growth strategy announced by Prime Minister Shinzo Abe on Friday, Nishi said it was generally taken positively by market players, but many viewed it as somewhat insufficient as it lacked corporate tax cuts, considered by many crucial to turning around businesses. In the speech made Friday, Abe pledged to double the scale of Japan's crop exports and agricultural earnings as well as to promote capital spending among other steps. Kawasaki Heavy Industries advanced 13 yen, or 3.5 percent, to 383 yen following the announcement of the growth plan, which also includes export of infrastructure systems. The real estate sector, which is sensitive to interest rates, faced a setback as the yield on the 10-year Japanese government bond climbed in the morning. Mitsubishi Estate shed 50 yen, or 1.7 percent, to 2,912 yen and Mitsui Fudosan fell 75 yen, or 2.2 percent, to 3,335 yen. On the First Section, advancing issues outpaced declining ones 1,301 to 342, while 69 remained unchanged. (c) 2013 Kyodo News International, Inc. |