(RTTNews) – The Japanese stock market is trading modestly higher on Friday, recovering some of the losses in the previous three sessions, with the Nikkei 225 benchmark just below the 30,500 level, following the mixed signals overnight from Wall Street, as traders are optimistic that a new political leadership will implement new economic measures to alleviate the long-term impact of the pandemic.
BoJ Governor Haruhiko Kuroda also reportedly said that the Japanese economy will recover as the impact of COVID-19 diminishes and that consumer inflation will be well below 2 percent by 2023.
Although the nation continues its fight to contain the domestic incidence of coronavirus infections, a panel in Japan claims that new cases may increase after the upcoming holiday and the start of a new school year. The state of emergency COVID-19 in Tokyo and 18 other prefectures were recently extended until the end of the month.
The benchmark Nikkei 225 index gains 156.76 points or 0.52 percent to 30,480.10, after touching a high of 30,506.58 previously. Japanese stocks closed modestly lower on Thursday.
The market’s heavyweight SoftBank Group and the Uniqlo operator Fast Retailing are flat. Among automakers, Honda is gaining nearly 1 percent and Toyota is up 0.3 percent. In the technical field, Advantest wins more than 2 percent, Screen Holdings rises 0.5 percent, and Tokyo Electron rises more than 1 percent. In the banking sector, Mitsubishi UFJ Financial is gaining almost 1 percent, Sumitomo Mitsui Financial is up 0.4 percent and Mizuho Financial is flat. Among the major exporters, Panasonic loses nearly 1 percent, while Canon increases 0.2 percent. Mitsubishi Electric and Sony are flat. Among the other big wins, M3 gets almost 5 percent, while Nippon Yusen KK and Kawasaki Kisen Kaisha add almost 4 percent each. T&D Holdings, Mitsui OSK Lines and Daiichi Sankyo are up nearly 3 percent each, while CyberAgent is higher by more than 2 percent. Conversely, Nippon Steel and Toho Zink each lose nearly 7 percent, while Kobe Steel and JFE Holdings each fall more than 3 percent. Pacific Metals is down nearly 3 percent, while Dowa Holdings and Toto are down more than 2 percent each.
In the foreign exchange market, the US dollar is trading on Friday in the higher yen range of 109 yen.
On Wall Street, stocks fluctuated during the trading session on Thursday before the day ended slightly changed. The big averages recovered after an early step to the downside, but eventually ended the session on opposite sides of the unchanged line.
After falling nearly 275 points in the morning trade, the Dow closed only 63.07 points or 0.2 percent at 34,751.32. The S&P 500 also fell 6.95 points or 0.2 percent to 4,473.75, while the Nasdaq rose 20.40 points or 0.1 percent to 15,181.92.
Meanwhile, the major European markets moved upward on the day. While the French CAC 40 index rose 0.6 percent, the German DAX index and the UK FTSE 100 index both rose 0.2 percent.
Crude oil futures settled on Thursday, giving up early gains with concerns over China’s decision to release some crude oil from its strategic petroleum reserve. West Texas Intermediate crude oil futures for October settled at $ 72.61 a barrel, unchanged from the previous close.
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