Nikkei gains on Yellen comments; Nintendo hit by wider-than-expected loss

miércoles 7 de mayo de 2014 21:39 GYT
 

* Nintendo tumbles to lowest since June 2013
    * Toyota, Takeda to report earnings later in the day
    * Chinese trade data eyed

    By Ayai Tomisawa
    TOKYO, May 8 (Reuters) - Japan's Nikkei share average rose
on Thursday, recovering from a three-week low hit the previous
day after comments by the U.S. Federal Reserve chief helped
investor sentiment, but Nintendo slid after posting a
wider-than-expected loss.
    Nintendo Co fell 5.6 percent to 10,070 yen, its
lowest since June 2013, after posting a 46.4 billion yen ($456
million) operating loss for the year ended in March. That was
bigger than its previous projection of a 35 billion yen loss,
due to dismal Wii U sales. 
    Markets were focused on Chinese trade data due out during
the morning session, after exports unexpectedly fell for the
second straight month in March and import growth dropped
sharply. 
    The Nikkei was up 1 percent at 14,168.99 in
midmorning trade. On Wednesday, it tumbled 2.9 percent and
posted its biggest daily drop since mid-March.
    Traders took heart from comments by U.S. Fed Chair Janet
Yellen signalling continued support for the economy.
    Yellen's comments enabled investors to shift attention to
what may be an easing of the tensions in Ukraine, as Russian
President Vladimir Putin called on pro-Moscow separatists in
Ukraine to postpone a vote on secession just five days before it
was to be held. 
    "Overseas factors seem to have stabilised sentiment a bit,
but there isn't much long buying from foreigners yet," said
Hikaru Sato, a senior technical analyst at Daiwa Securities.
"The benchmark will likely be contained in a range of 
14,000-14,500 for the time being."
    Japanese corporate earnings reports were also in the
spotlight. Companies reporting results on Thursday include
Toyota Motor Corp, Takeda Pharmaceutical CO 
and Toshiba Corp.
    Recently battered index heavyweight stocks gained, with Fast
Retailing Co adding 2.6 percent, Tokyo Electron Ltd
 gaining 2.7 percent and Toyota rising 0.6 percent.
    The broader Topix added 0.6 percent to 1,158.32,
while the new JPX-Nikkei Index 400 advanced 0.7
percent to 10,551.40.
($1 = 101.7150 Japanese Yen)

 (Editing by Chris Gallagher)