Japan stocks scale 4-month peak on strong global equities, softer yen

DIP

15/04/2019 07:11

* Nikkei, Topix reach highest levels since early Dec
    * Banks lifted after strong gains by U.S. peers
    * Suzuki Motor slips as vehicle recall bites

    By Shinichi Saoshiro
    TOKYO, April 15 (Reuters) - Japan's Nikkei share average and
the broader Topix both scaled four-month highs on Monday,
boosted by a surge in global equities and a weaker yen.
    The Nikkei  .N225  ended the day 1.37 percent higher at
22,169.11 after touching 22,211.03, its highest since Dec. 4.
    Japanese shares were lifted after the S&P 500  .SPX  closed
within one percent of September's record high on Friday, buoyed
by JPMorgan's  JPM.N  strong earnings.  .N 
    "Japanese shares had long lagged their global counterparts
but they are finally beginning to catch up," said Takashi
Hiroki, chief strategist at Monex Securities.
    "U.S.-China trade concerns have receded, the Fed is no
longer hiking rates and Brexit has been postponed, which all
bodes well for risk assets. This prepares the way for foreign
investors to begin buying undervalued Japanese shares again."
    Boosted after JPMorgan led a surge by U.S. financials,
Japanese banks rose across the board. Mitsubishi UFJ Financial
Group  8306.T  gained 1.4 percent, Mizuho Financial Group
 8411.T  rose 1.1 percent and Sumitomo Mitsui Financial Group
 8316.T  added 1.8 percent.
    Exporters such as automakers advanced as the yen struggled
near a 1-1/2-month low against the dollar.
    Nissan Motor Co  7201.T  added 0.8 percent, Honda Motor Co
 7267.T  gained 1.1 percent and Toyota Motor Corp  7203.T  rose
0.6 percent.
    Suzuki Motor Corp  7269.T , on the other hand, slipped 2.3
percent after the company flagged an extraordinary loss of 80
billion yen ($714.54 million) due to the recall of nearly 2
million cars related to improper vehicle inspections.
 urn:newsml:reuters.com:*:nT9N1WK05I
    Vector Inc  6058.T  soared 8.4 percent after the public
relations agency forecast its operating profit would increase 40
percent in the year through February 2020.  urn:newsml:reuters.com:*:nXB0F1B5HV
    On the other hand, employment agency DIP Corp  2379.T 
tumbled 17 percent with the company expecting its recurring
profit to sink 17.3 percent in the year through February 2020.
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    All 33 of the Tokyo Stock Exchange's subindexes were in
positive territory, led by mining  .IMING.T  and insurance
 .IINSU.T .
    Advancing issues outnumbered decliners 1,910 to 190.
    The broader Topix  .TOPX  ended the day up 1.4 percent at
1,627.93 after going as high as 1,632.19, its strongest since
Dec. 6.
($1 = 111.9600 yen)

 (Editing by Simon Cameron-Moore)
 ((shinichi.saoshiro@thomsonreuters.com; Reuters Messaging:
shinichi.saoshiro.reuters.com@reuters.net
+813-6441-1774))