Nikkei rises as weak yen lifts exporters; oil shares underperform

lunes 8 de septiembre de 2014 22:19 GYT
 

* Volume weak due to worries about Japan's growth - analysts
    * Oil shares drop after Brent crude falls

    By Ayai Tomisawa
    TOKYO, Sept 9 (Reuters) - Japan's Nikkei share average rose
modestly on Tuesday after the yen dropped to a six-year low
against the dollar, lifting  exporters such as Honda Motor Co
 and Sony Corp, but weak crude oil prices
weighed on energy shares.
    The Nikkei rose 0.4 percent to 15,774.21 points by
mid-morning, moving close to its seven-month high of 15,829.38
hit last week.
    The dollar rose to a six-year high of 106.09 yen. 
    Honda gained 1.2 percent and Sony added 1.3 percent, while
Advantest Corp advanced 2.5 percent.
    A weaker yen helps Japanese exporters' competitiveness
abroad as well as their profits when repatriated.
    Analysts said that while most companies have based their
foreign currency assumptions at around 100 yen for the fiscal
year through March, the current dollar-yen level is serving as a
tailwind to major exporters.
    According to Nomura Securities, companies listed on the
Topix are expected to post a total of 61.5 trillion yen ($580
billion) in operating profits for the year through March, and
when the yen weakens by 1 yen against the dollar, it would lift
the aggregate operating profits by 300 billion yen.
    But they also added that thin volume was a concern as some
investors remain on the sidelines in the wake of weak Japanese
economic data.
    "Investors are uncertain about Japan's growth so they want
to wait until good news comes out (before investing
aggressively)," said Hiromichi Tamura, chief strategist at
Nomura Securities, citing Monday's revised Japanese GDP report,
which showed the economy contracted more than initially expected
in the second quarter. 
    Oil shares and trading houses underperformed, with Inpex
Corp falling 1.2 percent, Mitsubishi Corp <8058.T.
shedding 0.1 percent and Sumitomo Corp declining 0.1
percent after Brent crude fell below $100 a barrel for the first
time in 16 months. 
    The broader Topix gained 0.1 percent to 1,299.89 and
the JPX-Nikkei Index 400 added 0.1 percent to
11,793.02.

(1 US dollar = 106.0200 Japanese yen)

 (Editing by Kim Coghill)