🔥 Premium AI-powered Stock Picks from InvestingPro Now up to 50% OffCLAIM SALE

Nikkei recoups early losses as travel-related shares bounce back

Published 26-04-2021, 08:12 am

TOKYO, April 26 (Reuters) - Japanese shares ticked higher on Monday, as travel-related stocks bounced back from losses driven by fears of coronavirus curbs, and after ANA 9202.T forecast a smaller-than-expected full-year loss.

The Nikkei share average .N225 rose 0.24% to 29,089.48, recovering from earlier losses of 0.43%. The broader Topix .TOPX edged up 0.11% to 1,917.00.

Travel-related shares led the gains after their big declines in recent weeks as investors closed their selling positions made in anticipation of social restrictions to curb the fourth wave of COVID-19 infections.

Japan on Friday declared "short and powerful" states of emergency for Tokyo, Osaka and two other prefectures, requiring restaurants, bars and karaoke parlours serving alcohol to close and big sporting events to be held without spectators. sectors hit by the coronavirus are getting bought back as there are hopes that the coronavirus infections will decline now that the government has declared an emergency," said Takashi Hiroki, chief strategist at Monex Securities.

ANA Holdings 9202.T gained 5.4% after the airline said its full-year operating loss would be narrower than previously forecast. companies soared, with Central Japan Railway 9022.T , West Japan Railway 9021.T and East Japan Railway 9020.T up 3.9%, 3.4% and 2.7%, respectively.

Tokyo Disney Resort operator Oriental Land Corp 4661.T rose 2.5%.

"Because the market has started to underperform globally partly due to the rise of local infections, if the new restrictions curtail infections, the market might be relieved even if economic growth is somewhat lessened by such," said John Vail, chief global strategist at Nikko Asset Management.

On the other hand, M3 2413.T dropped as much as 7.2% after the medical portal platform operator announced upbeat quarterly results but declined to give an annual guidance for the current year.

M3 followed a pattern seen in recent sessions when the market's leading growth shares such as Yaskawa Electric 6506.T and Nidec 6594.T fell despite reporting fairly upbeat earnings.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.