TOKYO: Japan's Nikkei share average rose on Monday, as a sustained rally in oil lifted energy shares, while chipmakers followed their US peers higher.
The Nikkei gained 0.69% to 28,318.54 as of the midday break, rebounding after touching its lowest intraday level since Dec. 6 on Friday at 27,889.21.
About 10 stocks advanced for every one that fell on the benchmark index. The energy sector led gains with a 2.53% jump.
The broader Topix added 0.42%. The Topix growth share index added 0.28%, after dipping to its lowest intraday level since mid-August at the end of last week. The value index gained 0.55%, and touched its highest intraday level since late September.
Japanese shares fall amid rate hike concerns, tech stocks drag
"Over-sold growth stocks are being bought back," said Naoki Fujiwara, a fund manager at Shinkin Asset Management.
"At the same time, the shift from growth stocks to value stocks is also continuing."
Uniqlo store operator Fast Retailing's 1.47% rally made it the Nikkei's biggest gainer by index points, followed by chip giants Tokyo Electron and Advantest, which rose 0.81% and 1.87%, respectively. Peer Renesas rose 2.72%.
On Friday, the US's Philadelphia SE Semiconductor Index jumped 2.33%. Wall Street is shut on Monday for a national holiday.
In addition, local media reported that the Japanese government will set up a subsidy program to assist companies developing chips, large-capacity batteries and other strategic products.
SoftBank Group and Toyota Motor also helped the Nikkei higher, with respective 1.06% and 0.98% advances. Nintendo gained 1.39%.
Comments
Comments are closed for this article.