* Shippers soar after cos integrate container businesses
* Weak yen lifts exporters
By Ayai Tomisawa
TOKYO, July 10 (Reuters) - Japan’s Nikkei share average rose on Monday morning after Wall Street gained on Friday, while the dollar strengthened against the yen on the heels of U.S. jobs data that gave investors more confidence in the strength of the U.S. economy.
The Nikkei gained 0.6 percent to 20,047.33 in midmorning trade.
“It’s a straightforward market today. There is demand in cyclical stocks such as automakers and tech stocks taking cues from U.S. shares,” said Hikaru Sato, a senior technical analyst at Daiwa Securities.
Meanwhile, the marine transport sector was the best sectoral performer after the three major shippers established a holding company and an operating company to integrate their container shipping businesses.
Nippon Yusen KK jumped 4.1 percent, Kawasaki Kisen Kaisha surged 4.4 percent and Mitsui OSK Lines Ltd soared 6.2 percent.
Overall sentiment was positive after U.S. jobs growth beat forecasts, lifting the dollar against the yen and helping exporters. Subaru Corp, which has large exposure in the U.S. market, rose 1.0 percent while Honda Motor Co gained 0.8 percent.
The dollar was 0.1 percent higher at 113.98 yen, after notching a high of 114.18 yen in the wake of the jobs report, its loftiest level since May 11.
Tech shares were also in demand. Advantest Corp gained 2.3 percent, Tokyo Electron surged 2.5 percent and Panasonic Corp added 2.2 percent.
U.S. job growth surged more than expected in June and employers increased hours for workers, suggesting the Federal Reserve could stick to its plan for its third interest rate hike this year and begin to reduce its balance sheet despite sluggish wage gains and tepid inflation.
On the other hand, banking shares languished, with Mitsubishi UFG Financial Group falling 0.9 percent and Mizuho Financial Group dropping 0.6 percent.
The broader Topix gained 0.4 percent to 1,613.90.