Tokyo stocks open higher as tech firms rise

Japan: Tokyo stocks opened higher on Friday with investors buying into companies with strong earnings as well as tech shares after Apple hit $1 trillion in market capitalisation.

The benchmark Nikkei 225 index rose 0.32 percent, or 72.58 points, to 22,585.11 in early trade while the Topix index was up 0.19 percent, or 3.27 points, at 1,755.36.

“Investors will only go with selective buying in companies with strong earnings,” Okasan Securities said in a commentary.

“It will be difficult to chase higher prices aggressively due to caution over a possible escalation in the US-China trade war,” added SBI Securities.

“A wait-and-see mood may also spread ahead of the US jobs data for July,” it said in a commentary.

On Wall Street Thursday, Apple became the first private company to reach $1 trillion in market capitalisation.

The advance lifted sentiment towards technology stocks in Tokyo.

Apple suppliers rose in early trade with Sharp up 1.88 percent at 2,985 yen and Kyocera up 0.62 percent at 6,913 yen, though they later gave up gains.

Panasonic, a battery supplier to electric car maker Tesla, rallied 3.37 percent to 1,486 yen after the US automaker enjoyed huge gains in New York.

Suzuki Motor soared 8.19 percent to 6,982 yen after reporting strong April-June results.

Toyota was up 0.28 percent at 7,303 yen, hours before it announces results with expectations high.

The dollar held steady, trading at 111.73 yen against 111.66 yen in New York on Thursday afternoon.

AFP

This post was last modified on August 5, 2018, 11:16 am