Nikkei rallies off 3-week low, Greek hopes boosts exporters

miércoles 10 de junio de 2015 22:42 GYT

By Hideyuki Sano
    TOKYO, June 11 (Reuters) - Japanese stocks bounced back from
three-week lows on Thursday on hopes that the European market
for Japanese exports will improve  as Greece inched closer to
reaching a cash-for-reform deal with its creditors.
    Investors also picked up domestic demand-oriented shares
such as railway companies and financials, betting that the
Japanese economic recovery will remain firm and as the yen
recovers from 13-year lows.
    The Nikkei share average is on course to snap its
four-day losing streak, rising 1.3 percent to 20,309.36,
bouncing off Wednesday's three-week low of 20,016.32 hit on
concerns about rising bond yields around the globe.
    The Nikkei's gains were driven primarily by improved
sentiment in global markets on Greece as the country's Prime
Minister Alexis Tsipras agreed to intensify negotiations with
its creditors after having met the leaders of Germany and
    While high volatilities in bond markets are likely to keep
many investors on guard for now, Japanese stock prices are
likely to be supported by expectations for a solid recovery in
earnings and higher shareholder returns.
    "Given rises in Japanese bond yields are limited compared to
the U.S. and Europe, Japanese stocks look more attractive than
U.S. and European shares," also said Hiroshi Ono, manager of
equity investment at Sumitomo Life Insurance.
    Although Japanese bond yields have risen in sympathy with
bond yields elsewhere, the 10-year yield still stood relatively
low at 0.54 percent, compared to around 1 percent
in Germany and 2.5 percent in the United States.
    Leading the gains on Thursday were land transport companies
, which scored gains of 3.7 percent, by far the best
performer among the Tokyo Stock Exchange's 33 industry
    Central Japan Railway rose 5.6 percent while West
Japan Railway gained 4.7 percent and East Japan Railway
 3.6 percent.
    Bank shares gained 1.8 percent. They have been
rising on hopes that banks may buy back their own shares as well
as on their relatively inexpensive valuations.
    Mizuho Financial rose2.3 percent, Mitsubishi UFJ
Financial Group 2.6 percent and SMFG 0.8
    The three banks were the top gainers among the Topix core 30
 for the current April-June quarter.
    The yen's sharp rebound from a 13-year low in the past few
sessions has  encouraged investors to focus on domestic-demand
oriented shares, while exporters also found support.
    Toyota Motor rose 1.6 percent, while car parts
maker Denso Corp. rose 2.2 percent. 
    The broader Topix gained 1.4 percent to 1,650.13.

 (Editing by Simon Cameron-Moore)