Nikkei hits 30-year high in dollar terms on stimulus hopes

  • Reuters
  • Stock Market News
Nikkei hits 30-year high in dollar terms on stimulus hopes
Credit: © Reuters.

TOKYO, Sept 3 (Reuters) - Japan's Nikkei share average .N225 hit a six-month high on Thursday and reached its highest level in three decades in dollar terms, as hopes of more global and domestic economic stimulus boosted sentiment.

Nikkei .N225 rose 1.35% to 23,561.01 by midday, its best level since Feb. 21. Converted to dollars, that put the index at its highest since 1990.

"Coronavirus infections are slowing in many parts of the world as various social distancing and hygienic measures have been taken. So clearly, we can say the economy is improving after a brief lull in August," said Nobuhiko Kuramochi, market strategist at Mizuho Securities.

"The Japanese government is likely to extend support for employment and the U.S. yield curve is not pricing in any hike until 2024, prompting investors to buy risk assets," he added.

The broader Topix .TOPX rose 0.88% to 1,637.75, a six-month high.

Fast Retailing 9983.T , which has a heavier weighting on the Nikkei compared to Topix, rose 3.7% after reporting strong domestic sales for August.

Semiconductor-related shares also climbed, with Shin-etsu Chemical 4063.T , manufacturer of semiconductor wafers, rising 4.5% and small motor maker Nidec 6594.T gaining 2.3%.

Game maker Nintendo 7974.T rose 0.9% to a 12-year high.

Cable TV operator Sky Perfect JSAT Holdings 9412.T soared 11.8% after posting a surprise jump in profit, partly due to a fall in costs as the cancellation of various professional sports events led to lower payments for broadcast rights. Holdings 8473.T rose 5.2% after a media report said its president discussed a plan to extend a union on regional banks it leads to about 10 banks.

Value shares .TOPXV led the gains with a rise of 1.07%, partly helped by improved sentiment after Warren Buffett's Berkshire Hathaway (NYSE: BRKa ) BRKa.N bought a 5% stake in five Japanese trading houses.

Drop an image here or Supported formats: *.jpg, *.png, *.gif up to 5mb

Error: File type not supported

Drop an image here or


Related Articles