Japan Nikkei surges on upbeat Wall Street lead

11 Nov 2022 , 01:43 PM

Japanese share market finished session at a two-month high on Friday, 11 November 2022, as investors chased for bottom fishing across the board on tracking an overnight surge on Wall Street on spurring hopes that the Federal Reserve might scale down the size of its future interest rate increases after a smaller than expected monthly increase in consumer prices as well as a bigger than expected slowdown in the annual rate of consumer price growth. Tokyo market witnessed strong gains across most sectors, led by technology stocks, as softer-than-expected US inflation data raised hopes for a slower pace of interest rate hikes in the coming months. Most of TSE sectors traded lower, with decline were led by oil and coal product, iron and steel, and transportation equipment issues. At closing bell, the 225-issue Nikkei Stock Average index surged 817.47 points, or 2.96%, to 28,263.57, its highest close since Sept. 13, The broader Topix index of all First Section issues on the Tokyo Stock Exchange was up 41.10 points, or 2.12%, to 1,977.76. Total 25 of 33 TSE sectors advanced, with Electric Appliances (up 5%), Services (up 4%), Chemicals (up 3..9%), Rubber Products (up 3.9%), and Precision Instruments (up 3.6%) being notable gainers, while Air Transportation (down 1.7%), Fishery, Agriculture & Forestry (down 1.6%), and Foods (down 0.8%) sectors were notable losers. Overnight on Wall Street, U.S. stocks jumped as cooler-than-expected inflation data suggested the Federal Reserves barrage of interest rate hikes are beginning to have their intended effect. Chip equipment maker Tokyo Electron jumped 8.4% and provided the biggest boost to the Nikkei, despite cutting its annual profit forecast. Peer Advantest climbed 9.06%. Bucking the trend, Nikon tanked 8.85% to become the biggest loser in the Nikkei after the camera maker posted a lower half-year net profit. CURRENCY NEWS: Japanese yen was trading around lower-141 level against greenback on Friday after hitting 140.93 per US dollar overnight, as Japanese authorities on Friday warned of intervention in the currency market after sharp swings in the yen overnight, which was triggered by softer-than-expected U.S. inflation data and a broad dollar sell-off. Powered by Capital Market – Live News