Nikkei gains on relief over China and Greece, China data helps

martes 14 de julio de 2015 22:51 GYT

* Relief over Greece and China main driver of gain
    * Market sentiment improves but underlying caution remains
    * Upbeat China data add to positive mood

    By Hideyuki Sano
    TOKYO, July 15 (Reuters) - Japan's Nikkei share average
extended gains on Wednesday, thanks to relief the worst may be
over for Chinese share markets and the debt crisis in Greece,
with stronger-than-expected Chinese economic data giving an
additional boost.
    The Nikkei rose 0.4 percent to 20,469.61, hitting
its highest level in nearly two weeks while the broader Topix
 also climbed 0.4 percent to 1,644.91.
    The move largely reflected rises in global shares after
Chinese markets regained a measure of stability this week
following a month-long rout.
    Investors are also hoping that Greece's parliament will pass
reforms demanded by the country's creditors later in the day.   
 There was also limited interest in the Bank of Japan's policy
meeting ending later in the day, which is widely expected to
hold its policy on hold.    
    "It makes complete sense that there is a relief in markets
now, following a recovery in Chinese markets and a resolution of
sorts in Europe. If those two risk factors are behind us, then
the focus will be on earnings, which are expected to be good,"
said Stefan Worrall, director of equity sales at Credit Suisse.
    "But the question remains whether these instabilities are
genuinely behind us," he added.
    While there remain some concerns that some wealthy Chinese 
may tighten their purse strings after massive losses on stocks,
the data published on Wednesday showed the world's second
largest economy fared better than expected in recent months.
    China's GDP grew 7.0 percent from a year earlier in
April-June, slightly above consensus of 6.9 percent growth.
Reading on urban investment, industrial output and retail sales
in June all beat expectations. 
    In addition, a surprisingly weak U.S. retail sales data led
to expectations that the Fed's rate hike may come later rather
than sooner, supporting share prices, said a trader at a
Japanese brokerage.
    Investors snatched up some companies that announced upbeat
earnings, such as cinema operator Toho, which rose 3.2
percent, and restaurant chain Saizeriya, which jumped
5.8 percent.
    Department store operator Takashimaya rose 5.6
percent after a brokerage upgrade, erasing last week's losses k
spurred by fears that China's stock mayhem may hurt a shopping
spree by Chinese tourists visiting Japan.
    Many tourism-related shares have risen so far this year on
hopes of an increase in sales to soaring foreign visitors.

 (Editing by Shri Navaratnam)