Nikkei edges up after upbeat BOJ sentiment survey; caution over Greece caps gains

martes 30 de junio de 2015 22:21 GYT

* Broader contagion risks from Greece will be limited -
Goldman Sachs
    * Fast Retailing contributes hefty points to Nikkei index
    * Suzuki down on profit-taking after president change

    By Ayai Tomisawa
    TOKYO, July 1 (Reuters) - Japanese shares edged up on
Wednesday as a central bank survey showed big businesses plan to
increase capital spending at the fastest pace in a decade, but
gains were limited as investors remained cautious on
developments in Greece.
    Confidence at big Japanese manufacturers unexpectedly
improved in the second quarter and is seen rising further, the
Bank of Japan survey showed, offering some relief to
policy-makers keen to jump-start an economy which had been
appearing to back slide again. 
    The Nikkei share average rose 0.1 percent to
20,262.79 by mid-morning, hovering at a level which was 3
percent off its 18-1/2-year high of 20,952.71 hit last week.
    The BOJ's upbeat "tankan" showed improvement in both
manufacturers' and service-sector firms' sentiment. Investors
also took heart from strong capital spending plans by machinery
    "It's a well balanced result which could have pushed the
market further up if caution about Greece did not cap risk
appetite," said Takuya Takahashi, an analyst at Daiwa
    Goldman Sachs said that Greece-related uncertainty may keep
market volatility high in the near-term, but believes broader
contagion risks will be relatively limited, and a further
correction in Japanese equities would represent a buying
    The brokerage set a Topix 12-month target at 1,850,
reflecting a 13 percent upside from the current level.
    Exporters were mixed, with Toyota Motor Corp 
falling 0.7 percent, Honda Motor Co falling 1.1 percent
and Tokyo Electron Ltd gaining 1.8 percent.
    Fast Retailing Co rose 1.0 percent, contributing a
hefty 24 points to the Nikkei index.
    Suzuki Motor Corp dropped 2.7 percent after rising
2.7 percent on the previous day after a media report hinting a
president change eased investor concerns over the firm's
succession plan.
    Earlier on Wednesday, it tumbled as much as 5.2 percent to a
1-1/2-month low after investors took profits from the previous
day's gains and started to digest the official announcement by
the company after Tuesday's market close that its 85-year-old
CEO Osamu Suzuki named his eldest son as the new president.
    "The decision was neutral to the stock price, in my
opinion," said Yoshihiro Okumura, analyst at Chibagin Asset
Management. "The new president will likely succeed his father's
overseas strategy, which is key to the company."
    The broader Topix gained 0.1 percent to 1,631.55 and
the JPX-Nikkei Index 400 was flat at 14,716.56.

 (Editing by Kim Coghill)