Nikkei edges near 30-year high on recovery hopes, heavy machinery stocks' gains
24/12/2020 02:44
TOKYO, Dec 24 (Reuters) - Japanese shares inched up on
Thursday to come within sight of a near three-decade high, as
vaccine rollouts buoyed hopes of an economic recovery from the
COVID-19 pandemic and heavy machinery stocks gained on a policy
shift to greener energy.
Japan's Nikkei share average .N225 rose 0.53% by midday to
26,665.72, edging closer to Monday's high of 26,905, its highest
level since early 1991. The broader Topix .TOPX gained 0.56%
to 1,775.18.
Rollouts of COVID-19 vaccines are propping up hopes that the
economic recovery can gain momentum next year, despite the
headwinds from a recently-found more infectious strain and a
delay in U.S. pandemic relief package.
Aeon 8267.T rose 3.9% to hit a record high, after the
retailer revised its earnings outlook higher for the year to
February as consumer confidence picked up after a
coronavirus-induced slump. urn:newsml:reuters.com:*:nFWN2J20W8
Heavy machinery firms gained after Nikkei newspaper reported
Japan's new zero emission strategy would target a massive
increase in offshore wind power. urn:newsml:reuters.com:*:nL1N2J32NP
IHI 7013.T rose 6.3% and Kawasaki Heavy 7012.T gained
4.4%.
The positive mood also saw retail investors flocking to
recently-listed shares, with WealthNavi 7342.T gaining 21%.
On the other hand, Hino Motors 7205.T tumbled 9.0% after
the truck maker said it would suspend production at two
factories in North America until next September due to problems
in U.S. engine certification testing process. urn:newsml:reuters.com:*:nFWN2J302S
SoftBank Group 9984.T dropped 1.8% after China launched an
investigation into Alibaba Group 9988.HK for suspected
monopolistic behaviour and will summon its Ant Group to meet in
coming days. urn:newsml:reuters.com:*:nL1N2J401V
SoftBank Group is the biggest share holder of the Chinese
e-commerce giant.
(Reporting by Hideyuki Sano; Editing by Rashmi Aich)
((hideyuki.sano@thomsonreuters.com; +81 3 4520 1195;))