TOKYO: Japan’s Nikkei share average ended higher on Friday, with technology stocks leading the gains, as traders tracked a record closing high at Dow overnight following robust US economic data.
The Nikkei rose 0.74% to close at 38,647.75, and ended the week flat. For the month, the benchmark index lost more than 1%.
The broader Topix gained 0.73% to 2,712.63 and posted a 0.3% weekly gain. For the month, the index lost nearly 3% in its biggest decline since October.
“The Dow’s strong finish lifted domestic equities.
Chip-related stocks rose despite a decline of the Nasdaq, which means Nvidia is no longer a market-moving cue,” said Naoki Fujiwara, senior general manager at Shinkin Asset Management.
The Dow posted a record-high close on Thursday in mixed trading, while artificial intelligence chipmaker Nvidia dropped after its largely in line forecast failed to impress investors.
The Nasdaq slipped 0.23%.
Nvidia’s performance has been key for the Nikkei as most of its heavyweights are technology stocks.
The US economy grew faster than initial estimates due to strong consumer spending, the Commerce Department reported, supporting expectations the US is likely to avoid a recession.
Japanese chip-testing equipment maker Advantest jumped 3.7% to give the biggest boost to the Nikkei.
Chip-making equipment maker Tokyo Electron rose 0.3%. Technology start-up investor SoftBank Group gained 3.2%.
Medical equipment maker Terumo fell 2.9% to weigh on the Nikkei the most, after news that its shareholders plan to sell 73.2 billion yen ($505.56 million) worth of shares to overseas investors.
Home interior goods retailer Nitori Holdings, which relies on imports for most materials, fell 2.8% after the yen weakened on Thursday.
Nitori shares rose 22% this month, buoyed by a stronger yen.
Of the 225 Nikkei components, 155 stocks rose and 67 fell, with three ending flat.
Comments
Comments are closed for this article.