Japan’s Nikkei rises as yen weakens

TOKYO: Japan’s Nikkei share average ended higher on Tuesday, as technology stocks extended their advance after the yen lost some gains.

The Nikkei rose 0.85 percent to close at 53,333.54, while the broader Topix ended 0.31 percent higher at 3,563.59.

The market was cautious earlier in the session with all eyes on the yen that had spiked against the US dollar on Friday and climbed to a more than two-month high overnight.

Speculation grew over coordinated currency intervention by US authorities following remarks from Japan’s prime minister and a leading currency diplomat. “The yen weakened toward the end of the session and that supported the market,” said Shuutarou Yasuda, market analyst, Tokai Tokyo Intelligence Laboratory.

Chip-related shares rose, with Advantest jumping 5.85 percent and Tokyo Electron rising 2.53 percent.

The gains of those shares were underpinned by South Korea’s KOSPI, said Yasuda. The Korean index rallied to a new peak despite President Donald Trump’s latest threat to hike tariffs on autos and other imports from the country.

Back in Japan, Sony Group stock fell 1.58 percent, weighing most heavily on the Topix, while Toyota Motor slipped 0.52 percent.