Japan Market gains on firm offshore lead

18 May 2022 , 04:12 PM

Japan share market finished session higher on Wednesday, 18 May 2022, as appetite for risk assets improved on tracking positive lead from Wall Street overnight along with US Fed Chair Jerome Powells positive comments about the strength of the economy and news of lifting of lockdown restrictions in China. At closing bell, the 225-issue Nikkei Stock Average advanced 251.45 points, or 0.94%, to 26,911.20. The broader Topix index of all First Section issues on the Tokyo Stock Exchange gained 17.98 points, or 0.96%, to 1,884.69. Fed Chair Jerome Powells said he is confident that the central bank can raise rates and deal with inflation without sending the economy into recession. He added that the economy is strong and is well positioned to withstand less accommodative monetary policy. The expectations of demand revival in China also boosted market sentiment after Shanghai pledged to gradually ease its COVID-19 lockdown restrictions in stages in June. Chip-making equipment maker Tokyo Electron provided the biggest boost to the Nikkei, rising 2.86%, followed by information technology services provider NTT Data, which jumped 4.35%, and camera and audio equipment maker Sony Group, gaining 2.95%. Renesas Electronics rose 3.7% after the chip maker said it would invest 90 billion yen in a shuttered factory to produce semiconductors. Soy sauce maker Kikkoman fell 3.3% and was the biggest drag on the Nikkei, followed by Uniqlo clothing shop owner Fast Retailing, which slipped 0.33%. CURRENCY NEWS: The Japanese yen traded at 129.16 per dollar, having held above the 129 level against the greenback for much of the week so far. Powered by Capital Market – Live News