Tokyo stocks open higher after Wall St rally

Tokyo: Tokyo stocks opened higher on Wednesday with investor sentiment boosted by sharp gains on Wall Street following robust corporate earnings.

The benchmark Nikkei 225 index rose 1.03 percent or 232.06 points to 22,781.30 in early trade while the broader Topix index was up 1.09 percent or 18.45 points at 1,706.36.

“Tokyo stocks will be solid after opening higher” following sharp rallies in New York, SBI Securities said in a note.

“Given the yen’s rise has taken a breather, investors will continue to pick up export shares,” it added.

The dollar was trading at 112.32 yen against 112.26 yen in New York on Tuesday afternoon as safe-haven buying of the Japanese currency subsided.

Major US indices surged more than two percent on Tuesday in Wall Street’s best session since March following a plethora of solid results from large banks and health care companies.

In Tokyo stocks trade on Wednesday, IT investor SoftBank Group kept surging, adding 4.00 percent to 9,970 yen.

Shares were also propelled higher by news that Uber was aiming at a valuation above $100 billion for its share offering. Softbank has a 15-percent stake in the ridesharing service.

Softbank stock had taken a hammering in recent days due to the firm’s links to Saudi Arabia, which is under intense international scrutiny after a journalist disappeared from its consulate in Istanbul.

Toyota was up 1.07 percent at 6,592 yen while Sumitomo Mitsui Financial Group gained 1.45 percent to 4,464 yen.

[source_without_link]AFP[/source_without_link]