Markets

Tokyo stocks end up 1.36pc on easing euro worries

Published Updated

The Nikkei 225 index at the Tokyo Stock Exchange rose 114.43 points to 8,500.02, topping the major chart line of 8,500 for the first time in six trading days.

The Topix of all first section shares rose 1.02 percent or 7.45 points to 734.60.

Smooth bond auctions overnight for Italy and Spain lifted spirits, as did rises in other Asian markets.

"Caution over Europe has slightly eased," Okasan Online Securities chief strategist Yoshihiro Ito told Dow Jones Newswires.

While fresh signs of a US recovery also cheered investors, sustained worries over forthcoming European bond auctions prevented Japanese shares from surging above the current range, he added.

Investors were unfazed by a cabinet reshuffle as Japan's Prime Minister Yoshihiko Noda sought to rescue his plans to raise sales tax and dig the country out from under its mountain of debt.

Noda replaced five ministers but heavyweight posts including foreign affairs, finance and trade were not changed.

Exporters continued to lead the market. Honda Motor was up 3.36 percent to 2,553 yen and Canon up 3.07 percent at 3,355.

Inpex rose 1.17 percent to 516,000 yen after it announced a final investment decision on a $34 billion gas project in Australia together with French giant Total.

US stocks shrugged off disappointing retail sales and jobs data Thursday to add gains after a mixed day in crisis-mired Europe. The Dow Jones Industrial Average closed up 0.17 percent to 12,471.02.

The euro's fall took a breather Friday, edging up to $1.2831 and 98.48 yen in Tokyo afternoon trade from $1.2816 and 98.38 yen in New York late Thursday.

Copyright AFP (Agence France-Presse), 2012