TOKYO: Japanese shares ended higher on Monday as upbeat earnings from shippers and other cyclical firms countered concerns about the fast-spreading Delta coronavirus variant, which threatens a fragile recovery in the economy.
The Nikkei average ended 1.82% higher at 27,781.02, erasing losses made on Friday, when it marked its lowest close since early January.
The broader Topix gained 2.05% to 1,940.05, its highest close since July 14.
Shippers led gains, adding 9.2% to hit a 13-year high, following strong earnings from Mitsui OSK. The sub-index has gained 18.2% over the past two sessions.
Mitsui OSK shares jumped 10.6%, while rival Kawasaki Kisen soared 9.1% and Nippon Yusen added 8.5%.
Automobile parts maker Denso jumped 5.0%, extending its gains to a second session after reporting strong earnings.
NEC rose 4.0% after the electronics and IT company posted a surprise return to profits in the April-June quarter.
Misumi Group gained 8.8% to hit a record high, after the trading firm specialised in factory automation and machine parts reported brisk earnings.
With about 40% of Topix companies having reported their earnings, operating profit grew about 240% from a year earlier, analysts at Okasan Securities wrote.
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