Nikkei rebounds, but iPhone LCD suppliers slump
By Joshua Hunt
TOKYO Nov 26 (Reuters) - Japanese stocks rebounded on Thursday morning, but shares in suppliers of parts for the iPhone's LCD screens slumped after the Nikkei business daily reported on Apple's plans to introduce organic light-emitting diode displays for its iPhones in 2018.
Sharp Corp shares fell 4.7 percent and Japan Display Inc plunged 7.5 percent during the morning session. Electronics parts maker Minebea Co Ltd, which supplies backlights for iPhone screens, tumbled 8.2 percent.
Still, the Nikkei share average gained 0.6 percent to end the morning session at 19,959.26, but activity was subdued with U.S. markets closed for Thanksgiving holiday.
"Nikkei futures tested 20,000 points, but cash is still knocking its head against that resistance level," said Gavin Parry, managing director at Parry International Trading.
"This morning's trading is largely directionless because of the U.S. holiday and most people are watching the yen closely to see if it tests the 123 handle again."
The weak yen was trading nearly flat at 122.65 per dollar on Thuirsday morning..
"We're expecting to see a year-end rally in Japanese equities as investors show renewed interest despite the economy re-entering recession territory," said Martin King, co-managing director at Tyton capital Advisors.
"Sentiment indexes are bullish and talks of increased minimum wages and higher taxes on high earners are going a long way toward balancing the recent malaise on global and regional concerns." Continuación...