Nikkei rises as Ukraine tension ebbs, Japan Display falls short of offer price

martes 18 de marzo de 2014 21:59 GYT

* Real estate shares outperform on rising land prices
    * Volume low as investors focused on FOMC

    By Ayai Tomisawa
    TOKYO, March 19 (Reuters) - Japan's Nikkei share average
rose on Wednesday morning after comments from Russian President
Vladimir Putin soothed anxiety about tensions over Ukraine, and
realtors led the gains on news land prices in Japan's largest
cities rose for the first time in six years.
    Also in focus was Japan Display Inc, the world's
largest maker of smartphone screens, which fell 15 percent from
the offer price in its market debut on Wednesday. It was the
most-traded stock by turnover. 
    The Nikkei rose 0.4 percent to 14,471.84 in
mid-morning trade, moving further away from a six-week low of
14,203.21 hit on Monday.
    The real estate sector was the top gainer on the
board, rising 1.4 percent after the land ministry said on
Tuesday that land prices in Japan's largest cities rose for the
first time in six years in 2013. 
    Mitsui Fudosan Co rose 1.0 percent and Mitsubishi
Estate Co gained 1.9 percent.
    Traders said that investor risk appetite has come back after
tensions over Ukraine abated, but investors may not take large
bets ahead of the Federal Reserve's two-day policy meeting.
    "Investors turned their attention back to the U.S. economy,"
said Hikaru Sato, senior technical analyst at Daiwa Securities.
"They are carefully monitoring the Fed's meeting, so overall
volume may stay low. Much of the trade will be focused on
certain shares, certain sectors, today."
    In an address to the Russian parliament, Putin said Russia
did not want Ukraine to be divided further, and that he did not
want to seize more of the country after approving plans to make
Crimea part of Russia following a referendum, which has been
condemned by Western powers as invalid. 
    Japan Display opened at 769 yen compared with its offer
price of 900 yen. It last traded at 750 yen.
    "Some foreign investors had been bullish about the IPO, but
the majority of foreigners were thinking that the offer price
was too expensive," said a chief portfolio manager at a local
asset management firm. "Some of them are blaming Hitachi
Maxell's disappointing IPO yesterday."
    Shares in Hitachi Maxell Ltd opened at 1,971 yen in
their trading debut on Tuesday, 4.8 percent lower than the
offering price of 2,070 yen. The stock slid 13.5 percent.
    The broader Topix index rose 0.2 percent to 1,167.94
while the JPX-Nikkei Index 400, a gauge comprising
firms with high return on equity and strong corporate
governance, added 0.3 percent.