Nikkei rises to a 6-month high on earnings

<p>Tokyo stocks were boosted by a weak yen and positive Japanese corporate earnings.</p>

Tokyo stocks ended 0.18 per cent higher today (July 30th) to 15,646.23, boosted by a weak yen and positive Japanese corporate earnings.

Japan's Nikkei share average was close to six-month highs as companies such as Honda Motor Co and Tokyo Electron Ltd posted results that eclipsed previous data showing weak industrial output.  

Honda jumped 3.6 per cent and was the most traded stock by turnover after reporting a 7.1 per cent rise in operating profit, beating analyst estimates.

The broader Topix was flat at 1,290.78, and the JPX-Nikkei Index 400 was also unchanged at 11,755.91.

“Stock prices have been underpinned by solid earnings reports” from key Japanese companies, Akira Tanoue, a deputy managing director at Nomura Securities Co, told the Japan Times.

“I believe expectations are also high for the rest of companies, which will release their earnings” today and Thursday, when the April-June earnings reporting season peaks, he added.

Learn about the Asian markets and CFD trading at City Index.

Join our live webinars for the latest analysis and trading ideas. Register now

GAIN Capital UK Limited (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.