Japanese shares end higher on positive earnings; Toyota falls

Kyocera

01/11/2022 06:41

TOKYO, Nov 1 (Reuters) - Japanese shares ended higher on
Tuesday, with investors taking cues from some companies' strong
outlooks, even as shares of Toyota Motor fell after posting a
worse-than-expected earnings.
    The Nikkei  .N225  rose 0.33% to 27,678.92, while the
broader Topix  .TOPX  gained 0.47% to 1,938.50.
    "Domestic companies so far have reported mixed results -
some were strong and some were weak. So there were a mixture of
selloffs and buyings," said Chihiro Ohta, assistant general
manager at the investment research and investor services at SMBC
Nikko Securities.
    Toyota  7203.T  fell 1.94% and weighed on the Nikkei after
reporting a 25% drop in September quarter profit and cut its
annual output target, as the automaker battles surging material
costs and a persistent semiconductor shortage.
    On the other hand, Japan Tobacco  2914.T  jumped 8.73% and
was the top gainer on the Nikkei, after the cigarette and drink
maker raised its annual profit forecast. 
    Panasonic Holdings  6752.T  climbed 7.33% despite posting an
11% drop in second-quarter operating profit, as the conglomerate
 performed better than analysts' estimates.
    Investors were cautions about the outcome of the U.S.
Federal Reserve policy meeting, which also made the market
directionless, said Ohta.  
    The U.S. central bank is all but certain to raise interest
rates by 75 basis points on Wednesday, but investors will look
for any signals the Fed may be considering a deceleration in
interest rate hikes in the future.  MKTS/GLOB 
    Mobile phone maker Kyocera  6971.T , which slipped 7.49%,
was the biggest loser on the Nikkei, followed by drug maker
Sumitomo Pharma  4506.T , which lost 3.66%, and shipper Kawasaki
Kisen Kaisha  9107.T , which was down 3.36%.
 (Reporting by Junko Fujita; Editing by Rashmi Aich)
 ((junko.fujita@thomsonreuters.com;))