Fujifilm, other Ebola-related shares soar as fears of virus intensify in U.S.

jueves 16 de octubre de 2014 00:23 GYT
 

* Institutional funds may be buying Fujifilm, not others
-trader
    * Ebola-related stocks include Airtech Japan, Shigematsu,
Teikoku Sen-I
    * Ebola fears exacerbating already sour mood - trader

    By Ayai Tomisawa
    TOKYO, Oct 16 (Reuters) - Shares of Fujifilm Holdings Corp
 as well as makers of air purifiers and protective
clothing soared on Thursday on speculation over which companies
would generate higher returns from fears of deadly virus Ebola
intensifying in the United States.
    Fujifilm extended gains into a third day - up 4.3 percent in
early afternoon trade - and was the fifth-most traded stock by
turnover. At the same time, concern over slowing economic growth
had pushed the Nikkei index to a 4 1/2-month low and all
33 Topix sub-sectors into negative territory.
    The Japanese technology company last week said the French
and Guinean governments were considering clinical trials of
influenza drug Favipiravir developed by group firm Toyama
Chemical Co to treat patients infected with Ebola.
    "Traders think Ebola has become a more serious threat since
a second health worker in the U.S. was confirmed positive," said
Mitsushige Akino, chief fund manager at Ichiyoshi Asset
Management. "Ebola worries are exacerbating already bad
sentiment caused by global slowdown."
    A nurse who had contracted Ebola was allowed to board a
plane from Ohio to Texas with a slight fever, intensifying
concern about the U.S. response to the spreading virus, a U.S.
federal told Reuters. 
    Other shares rising on expectations of higher sales because
of Ebola fears include industrial air purifier maker Airtech
Japan Ltd, which soared 27 percent after gaining 128
percent over the previous four sessions.
    Shigematsu Works Co, which makes health protection
devices, jumped 15 percent and Teikoku Sen-I Co, a
maker of firefighting equipment and other synthetic textile
products, also rose 15 percent.
    "Institutional investors and long-only funds may be buying
Fujifilm (because of the clinical trials), but long-term
investors would not buy the other stocks," Akino said.
    Profit-taking could occur anytime as short-term retail
investors are buying shares in the other companies before
carefully studying their businesses and balance sheets, Akino
said.
    "Buying in these companies seems to be mere speculation so
you need to be careful for a sudden fall."

 (Editing by Christopher Cushing)