Stocks in Japan Climbs On Weaker Yen

By HY Markets Forex Blog

Equities in Asia ,majorly stocks in Japan  were pushed by the series of better-than-expected macroeconomic data released from all over the globe along with the weaken yen at its lowest level against the greenback. While China had a strong rebound on Friday despite of the upbeat data released.

Over 1% in crude futures advanced overnight, which helped the region’s energy producers. As reports from Europe and the US showed a better-than-expected data, the eurozone improved in their output more than analysts predicted and the jobless claims in the US dropped. The US jobless claims in the month ended August 17 dropped to 330,500 a week, the US Labour Department figures showed.

While in Europe, the eurozone’s manufacturing gauge showed an expansion or a second month in August, advancing from 50.3 to 51.3; the Markit Economics reported. Equities increased their gains after a member of the European Central Bank (ECB) Ewald Nowotny, said the good news from the eurozone economy has cleared the need to cut the central bank’s interest rates.

Equities were expected to be seen at its lowest over the fear of the US central bank tapering its stimulus bond-buying program, the concerns from investors led to a massive sell-off in the region due to  the emerging markets as the US treasury yields rose as high as 2.93% on Thursday.

Stocks in Japan – Weaken Yen

The Japanese benchmark index Nikkei 225 gained 2.2% at 13,660.55; while the Tokyo’s broader Topix index advanced 2% to 1,141.63. Japan’s exporters were assisted by the weaker yen against the US dollar above the ¥99 threshold.

Global corporate group Citizen Holdings advanced 3.4%, while motor producing company Yamaha Motors gained 4.9%. The globe largest carmakers Toyota Motor gained 2.8%, while Kawasaki climbed .9%.

The sixth largest Japanese automaker gained 3.4% and the retail sales company Isetan Mitsukoshi Holdings soared 6.1%.

The Hong Kong’s Hang Seng declined 0.20% at 21.851, while the Chinese mainland Shanghai Composite edged down 0.48% and closed at 2,057.23.

 

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