Nikkei recovers with 0.2% rise

<p>The Nikkei turned positive following the dollar hitting a six-year high against the yen.</p>

Japan's Nikkei turned positive on Wednesday (September 10th) countering further gains by the US dollar against the yen.

The Nikkei's share average increased by 0.2 per cent to 15,785.29 in afternoon trading edging closer to the seven-month high it achieved last week.

Improvement in the Nikkei as the dollar hit a six-year high against the yen comes as a major boost to exporters such as Honda Motor Company and Panasonic Corporation.

Traders stated that there was considerable investment in futures while the cash market increased when the dollar broke through the 106.50 yen (£0.62) barrier.

A trader at a foreign brokerage was quoted by Reuters as saying: "The weakness in the yen has not been reflected in the Nikkei. The Nikkei has underperformed where it would normally be expected to go given this weakening of yen against the dollar."

Other markets highlighted that the Topix index was outperforming the Nikkei.

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