TOKYO: Japanese shares rebounded Monday morning, as investors welcomed stronger-than-expected US jobs data that boosted Wall Street stocks. The Tokyo bourse also was lifted by a weaker yen supporting exporters, but continued worries over the unresolved crisis at the Fukushima Daiichi nuclear plant weighed on sentiment, analysts said. The Nikkei index of the Tokyo Stock Exchange ended the morning session up 0.72 percent to 9,778.28. The Topix index of all first section shares added 0.29 percent to 865.14. The yen eased to 84.13 to the dollar around midday in Tokyo, compared with 84.00 yen in New York Friday. Yutaka Yoshii, general manager at Mito Securities, said the ongoing situation at the stricken nuclear plant continued to weigh on sentiment, after the complex was crippled by the March 11 earthquake and tsunami. It has been releasing radioactive materials in the environment, while the government said it will take "months" to contain the accident.
"It's difficult for investors to be optimistic enough to test shares higher solely on a weaker yen since there is uncertainty about corporate profits with the (Fukushima) nuclear power plant problems likely to drag on for some time," Yoshii said. Meanwhile, investors shrugged off an updated Bank of Japan Tankan survey, which took in responses after the earthquake and showed local firms were more pessimistic about business conditions in the coming three months.
"The Tankan result is still not fully reflective of the post-quake conditions," said Okasan Securities strategist Hideyuki Ishiguro. Canon rose 1.37 percent to 3,700 yen and Advantest rose 2.13 percent to 1,533. Tokyo Electric Power, the operator of the stricken Fukushima Daiichi nuclear power plant, fell 1.34 percent to 443.
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