News

Japans Nikkei Reclaims 30KMark as Economic Optimism Swells

Japans Nikkei index closed above the 30,000mark on Thursday after Federal Reserve Chair Jerome Powell views signalled that interest rates will remain low for an extended period.

The Nikkei share average ended up 1.67 at 30,168.27. The broader Topix rose 1.22 to 1,926.23.

Powell told lawmakers on Wednesday it may take more than three years to reach the central banks inflation goals, a sign the Fed plans leave interest rates unchanged for a long time to come.

On Wall Street, all three main indexes ended higher, on track to post strong monthly gains, with the Dow and the SP 500 set for their best month since November.

Powells comments have given a big impact on the Japanese stock market as well, said Takatoshi Itoshima, strategist at Pictet Asset Management.

And we can say even if the market falls one day, it can rebound easily the next day. Thats how strong the fundamental is.

Fast Retailing, the operator of Uniqlo brand clothing stores, rose 1.78, making it the biggest contributor to the Nikkeis gain. SoftBank Group, up 0.28, was the secondbiggest contributor.

Chiprelated shares jumped, with Tokyo Electron rising 1.49 and Fanuc adding 5.65. TDK gained 2.36.

Suzuki Motor weighed on the index by falling 3.3 after the automakers 91year old chairman, Osamu Suzuki, announced his retirement.

His announcement came less than a week after rival Honda Motor appointed a new CEO. Honda shares rose 1.24.

The largest percentage gainers in the index were Mitsui ES Holdings Co…

What's your reaction?

Excited
0
Happy
0
In Love
0
Not Sure
0
Silly
0

You may also like

Leave a reply

Your email address will not be published. Required fields are marked *

More in:News