TOKYO: Japanese shares edged up to their highest close in nine and a half months on Friday, with gains from buying by foreign investors capped by profit-taking, brokers said.
The headline Nikkei index at the Tokyo Stock Exchange crept up 0.06 percent, or 6.16 points, to 10,842.80, its highest close since April 30.
The Topix index of all first section shares fell 0.06 percent, or 0.54 points, to 973.60.
The yen held firm against the greenback at 83.25 to the dollar versus 83.30 overnight, spurring profit-taking among exporter shares.
"There are some concerns about tension in the Middle East, but the overall trend continues to be foreign investor buying (of Japanese stocks)," said Masayoshi Yano, senior market analyst at Meiwa Securities.
Japan's economy and fiscal policy minister Kaoru Yosano on Friday said he hoped the political situation in the Middle East would stabilise as soon as possible.
"Stability in the Middle East has important implications for Japan because the region is a big supplier of crude, which is a lifeline for our economy," Yosano told a regular press conference.
Oil prices rebounded in New York Thursday in volatile trade dominated by concerns about spreading unrest in the oil-rich Middle East.
Oil developers gained amid continued geopolitical fears stemming from the unrest.
Inpex was up 1.38 percent at 587,000 yen and Japan Petroleum Exploration rose 0.77 percent to 3,900 yen.
Okasan Securities strategist Hideyuki Ishiguro said the Nikkei index may rise to 11,000 next week.
"The fact that shares have not fallen sharply despite the sluggish open illustrated their strength," he said, pegging the index range next week at 10,700-11,000.
He added that the relatively firm performance of banking shares also provided some relief along with continued buying by foreign investors.
Nintendo lost 0.47 percent to 25,370, snapping an eight-day winning streak on profit-taking spurred by a firmer yen.
Toyota Motor fell 0.63 percent to 3,885 yen and Sony slipped 0.65 percent to 3,015.
Honda edged up 0.40 percent to 3,710 yen despite its announcement Thursday of a global recall of nearly 700,000 vehicles due to defective parts.
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