Tokyo Market News: investment market news from the Nikkei and Topix indices
Tokyo Market News: investment market news from the Nikkei and Topix indices

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    September 29, 2006

    Tokyo real estate sector adds 1.8 percent

    Filed under: Companies, Sony, NTT, Mitsubishi Estate, Softbank, KDDI

    The Tokyo equities markets were up on Friday as the Nikkei 225 added 0.6 percent to 16,127.58 and the Topix index gained 0.5 percent to 1,610.73.

    The real estate sector was up 1.8 percent as a whole as there were more indications that property prices are on the rise. Mitsubishi Estate was 2.2 percent higher to ¥2,580.

    Softbank added 7.2 percent on the session to ¥2,445 after it introduced 13 handsets for Vodafone Japan, it’s mobile arm, which will continue under the Softbank brand from Sunday. The handsets are believed by some analysts to be the thing that will enable Softbank to better compete with rivals NTT DoCoMo and KDDI. And, indeed, KDDI was 0.4 percent lower to ¥736,000, while NTT dropped 0.6 percent to ¥182,000 even though it launched new handsets of its own on Thursday.

    In the electronics sector, Sony was hurt by yet another recall of notebook computers that use its sometimes faulty batteries. While it introduced an international replacement program for the batteries, Sony declined 0.8 percent to ¥4,780.





    September 27, 2006

    Nikkei adds 2.5 percent

    Filed under: Companies, Isetan, Sony, Mitsui Fudosan, Nippon Steel, Matsuzakaya, Mitsubishi Estate, Sharp, JFE, Seven & I, Sumitomo Realty & Development, Aeon

    The Tokyo equities markets saw substantial gains on Wednesday, with gains in most sectors. The Nikkei 225 added 2.5 percent to 15,947.87, while the Topix index was 2.7 percent higher to 1,591.04.

    The real estate sector was up 2.9 percent as a whole. Mitsui Fudosan gained 2 percent to ¥2,595, while Mitsubishi Estate was 3.4 percent higher to ¥2,465 and Sumitomo Realty & Development added 4.8 percent to ¥3,300.

    Another domestically-focused sector, retailers, were up 2.9 percent. Broad-based retailer Seven & I was 3.2 percent higher to ¥3,820, while department store chain Matsuzakaya gained 3.6 percent to ¥751. Isetan added 5.2 percent to ¥1,943. General retailer Aeon was 3.5 percent higher after it said that, due to performance in its supermarkets, it will probably see a 19 percent rise in operating profits when it releases its half-year results.

    In the steel sector, JFE gained 2.5 percent to ¥4,570. Nippon Steel, meanwhile, was up 3.5 percent to ¥479.

    Consumer electronics were mixed. While Sony was up 3 percent to ¥4,860, Sharp dropped 1.2 percent to ¥2,020 after it announced that it will issue ¥200 billion worth of convertible bonds. The news spurred concerns that share values could be diluted.





    September 26, 2006

    Topix index drops 0.7 percent

    Filed under: Companies, Toyota, Mitsui OSK, Nippon Yusen, Kawasaki Kisen, Astellas Pharma, Honda, Sumitomo Metal Industries, Softbank, Japan Petroleum, Takeda, JAL, All Nippon Airways, Fuji Electric

    The Tokyo equities markets were lower on Tuesday, falling on declines in export-focused stocks. Transport stocks were also lower after an overnight rise in crude oil prices. The Nikkei 225 was 0.5 percent lower to 15,557.45, while the Topix index dropped 0.7 percent to 1,549.41.

    Oil and commodities stocks were higher on the gains in the prices of oil and other commodities. In the oil sector, Japan Petroleum Exploration added 1.2 percent to ¥6,850 and Inpex gained 2.1 percent to ¥907,000. Sumitomo Metal Mining was 0.8 percent higher to ¥1,457.

    The shipping sector dropped 2.8 percent as a whole on the rise in oil prices. Nippon Yusen dropped 2.1 percent to ¥708, while Mitsui OSK was 3.1 percent lower to ¥832 and Kawasaki Kisen fell 3.8 percent to ¥739. Elsewhere in transport related stocks, airlines were lower as well. All Nippon Airways declined 1.5 percent to ¥469, while Japan Airlines dropped 2.6 percent to ¥225.

    Carmakers were also lower, with Honda and Toyota each falling 0.8 percent, to ¥3,800 and ¥6,240 respectively.

    The pharmaceuticals sector saw losses on the day. Takeda fell 1.5 percent to ¥7,210, while Astellas dropped 1.7 percent to ¥4,590.

    Some individual stocks saw gains, however. Softbank, with interests in telecommunications and the internet, was 3.8 percent higher to ¥2,190. Fuji Electric added 3.3 percent to ¥587 after Nikko Citigroup initiated coverage with a target share price of ¥800.





    September 21, 2006

    Nikkei adds 0.7 percent

    Filed under: Companies, Sony, Mizuho, SMFG, Toyota, Advantest, Mitsubishi UFJ, Aiful, Acom, Shin-Etsu Chemical

    Technology stocks and the banking sector were instrumental in a turnaround that saw the Tokyo equities markets gain on Thursday despite a slow start to the session. The Nikkei 225 added 0.7 percent to 15,834.23, while the Topix was 0.6 percent higher to 1,580.08.

    Semiconductors-related stocks were up on the day. Advantest gained 2.3 percent to ¥12,010, while Shin-Etsu Chemical, the world’s largest manufacturer of silicon wafers was 3.3 percent higher to ¥7,430 on a reiteration of a “buy” rating from UBS, which also raised Shin-Etsu’s target share price from ¥8,000 to ¥8,300.

    Other export-related stocks also gained, but not as vigorously. While automobile manufacturer Toyota gained 1.8 percent to ¥6,340 on an upgraded net profits outlook, entertainment and consumer electronics maker Sony added 0.6 percent to ¥4,860.

    Banks were 0.9 percent higher as a sector. Mitsubishi UFJ was 0.7 percent higher to ¥1,460,000, while Mizuho gained 1.1 percent to ¥899,000 and SMFG added 1.7 percent to ¥1,170,000.

    The consumer finance sector, however, saw further declines, as concerns persisted over attempts by the government to limit the amount of interest these non-bank lenders can charge for their loans. Acom was 3.5 percent lower on the session to ¥4,690, while Aiful dropped 5.5 percent to ¥4,330.





    September 20, 2006

    Insurers decline in Tokyo

    Filed under: Companies, Mitsui Fudosan, Mitsubishi Estate, Mitsubishi UFJ, Yahoo Japan, Softbank, Aiful, Takefuji, Sompo Japan, T&D

    The Tokyo equities markets were lower on Wednesday, with both export-focused and domestic stocks seeing declines. The Nikkei 225 dropped 1 percent to 15,718.67, while the Topix index was 1.4 percent lower to 1,570.28. The Mothers index of small and mid-cap stocks declined even further, by 3.2 percent to 1,178.78.

    Internet-related stocks were sent lower by a profit warning issued by Yahoo in the United States. Both Yahoo Japan and Softbank dropped 3 percent, to ¥40,200 and ¥2,075.

    Among domestic stocks, real estate, banks, insurance, and consumer finance were all lower. Real estate was 2.1 percent lower as a sector on fears that shares are overvalued. Mitsui Fudosan was 2.3 percent lower to ¥2,610, while Mitsubishi Estate fell 2.9 percent to ¥2,500.

    The banking sector was down even more sharply, losing 2.4 percent overall. Mitsubishi UFJ dropped 2 percent to ¥1,450,000. But banks were outdone by the insurance sector, which declined by 2.7 percent as a whole. Life insurer T&D matched the sector with fall of 2.7 percent to ¥8,360, while general insurer Sompo Japan was 4.3 percent lower to ¥1,465.

    Consumer finance companies were lower on continuing worries about how the new cap on interest rates they can charge customers will affect business. Takefuji dropped 2.3 percent to ¥5,830, while Aiful declined 4 percent to ¥4,580.





    September 19, 2006

    Nikkei 225 up just 0.1 percent

    Filed under: Companies, Mitsui Fudosan, Toyota, Matsushita Electric Industrial, Mitsubishi Estate, Mitsubishi UFJ, Nomura, Monex Beans, Kabu.com, Sumitomo Metal Industries, Mitsubishi, Mitsui & Company, Iwai Securities

    The Tokyo equities markets saw very little net movement on Tuesday, as exporters gained but domestic stocks were largely lower on the session. The Nikkei 225 added 0.1 percent to 15,874.28, but the Topix index dropped 0.1 percent to 1,591.98.

    Among domestic stocks, the real estate sector was 0.5 percent lower, while banks and the securities sectors were each down by 0.7 percent over the session. In the securities sector, the declines hit both traditional and online brokerages. Nomura fell 0.9 percent to ¥2,100, while Mitsubishi dropped 2.5 percent to ¥2,130 and Mitsui was 3.6 percent lower to ¥1,474. Iwai Securities declined by 7 percent to ¥1,860. Online broker Kabu.com dropped 5 percent to ¥207,000, while rival Monex Beans was 3.3 percent lower to ¥96,700.

    Meanwhile, in the banking sector, Mitsubishi UFJ fell 1.3 percent to ¥1,480,000.

    In the real estate sector Mitsubishi Estate dropped 0.4 percent to ¥2,575, while Mitsui Fudosan was 0.7 percent lower to ¥2,670.

    Gains in export-focused sectors were typically small. Carmaker Toyota added 0.5 percent to ¥6,280, while Matsushita Electric Industrial gained 0.8 percent to ¥2,475. Higher commodities prices sent metals companies higher. Sumitomo Metal Mining was up by 1.3 percent to ¥1,538.





    September 14, 2006

    Automakers up in Tokyo

    Filed under: Companies, Sony, Mitsui Fudosan, Hitachi, Canon, Toyota, Matsushita Electric Industrial, Nissan, Mitsubishi Estate, Honda, Fast Retailing, Sumitomo Realty & Development, Aeon, Tokyo Tatemono

    Gains in the New York equities markets on Wednesday send Tokyo markets higher on Thursday as Japanese investors took the advances on Wall Street as an endorsement of US demand for Japanese products. The Nikkei 225 added 1.3 percent to 15,954.38, while the Topix index was 1 percent higher to 1,599.10.

    The export-focused electronics sector was higher. Hitachi added 0.9 percent to ¥716. Matsushita Electric Industrial, which makes the Panasonic brand, advanced by 1 percent to ¥2,460, while Sony gained 1.4 percent to ¥5,010 as it begins to overcome recent setbacks.

    Carmakers also saw gains. Toyota was 1.1 percent higher to ¥6,270, while Honda added 2.7 percent to ¥3,860 and Nissan gained 3.1 percent to ¥1,331.

    Printer and camera manufacturer Canon saw gains after Merrill Lynch issued an upgrade from “neutral” to “buy”, based on increased earnings. Canon added 1.4 percent to ¥5,920.

    Among domestically-focused stocks, the retail sector saw gains, but real estate declined on continue profit-taking. General merchandise retailer Aeon was 1.6 percent higher to ¥2,860, while Fast Retailing added 2 percent to ¥10,680.

    In the real estate sector, Mitsui Fudosan was 0.4 percent lower to ¥2,655 and Mitsubishi Estate dropped 0.8 percent to ¥2,560. Sumitomo Realty & Development declined by 1.5 percent, while Tokyo Tatemono fell 2.6 percent to ¥1,283.





    September 13, 2006

    Tokyo consumer finance sector declines

    Filed under: Companies, Sony, Mitsui Fudosan, NTT, Toyota, Advantest, Tokyo Electron, Nissan, Mitsubishi Estate, Sumitomo Realty & Development, Elpida Memory, Aiful, Takefuji, Acom

    Early gains in the Tokyo equities markets on Wednesday were taken back as investors expressed concern about recent economic data. The Nikkei 225 managed to end the session 0.2 percent higher to 15,750.05, but the Topix index dropped 0.2 percent to 1,583.55.

    Sony finally managed to see gains after recent declines due to the recall of its defective laptop batteries and a delay in the launch of its latest PlayStation gaming console in Europe. The consumer electronics and entertainment conglomerate added 1.2 percent to ¥4,940.

    The semiconductors sector also managed advances, following on gains for the US sector. Advantest gained 3 percent to ¥11,590, while Tokyo Electron was 4 percent higher to ¥8,300 and Elpida Memory added 6.6 percent to ¥5,660.

    Carmakers were higher, with Nissan up 0.6 percent to ¥1,291 and Toyota adding 1 percent to ¥6,200.

    While Mitsui Fudosan, at ¥2,665, and Mitsubishi Estate, at ¥2,580, were unchanged on the session as a result of profit-taking in the real estate sector, NTT Urban Development dropped 1.3 percent to ¥927,000 and Sumitomo Realty & Development fell 2.6 percent to ¥3,370.

    Consumer finance companies were lower on concerns that they might have to repay excessive interest charges to customers. Aiful was 3.3 percent lower to ¥4,730, while Takefuji dropped 3.4 percent to ¥5,940 and Acom fell 5.2 percent to ¥4,930.





    September 12, 2006

    Nikkei 225 down 0.5 percent on session

    Filed under: Companies, Mitsui OSK, Nippon Yusen, Kawasaki Kisen, Inpex, Komatsu, Sumitomo Metal Industries, Mitsubishi Materials, Daiichi Sankyo, All Nippon Airways, Yamato Holdings

    Tokyo equities markets were lower on Tuesday as investors worried that dropping commodities prices are signaling a slowdown in the global economy. The Nikkei 225 was 0.5 percent lower to 15,719.34, while the Topix index dropped 0.7 percent to 1,585.98. The Mothers Index of small and mid-caps fell even more sharply, declining by 2.9 percent to 1,272.58.

    Commodities-dependent stocks were lower, with Sumitomo Metal Mining down 4.7 percent to ¥1,595 despite revising its full-year prediction higher, while Mitsubishi Materials dropped 4.9 percent to ¥481. In the oil sector, Inpex was 2.2 percent lower to ¥929,000.

    New data showing machinery orders were lower than had been expected, released Monday, was still showing an effect as heavy machinery manufacturer Komatsu declined by 4.1 percent to ¥2,090.

    Transport, however, saw gains on the session. Among shipping lines, Mitsui OSK Lines was 0.7 percent higher to ¥881. Nippon Yusen added 1.1 percent to ¥720, while smaller peer Kawasaki Kisen was up 1.2 percent to ¥754. Door to door delivery company Yamato Holdings and airline ANA each added 1.3 percent, to ¥1,813 and ¥479 respectively.

    In the pharmaceuticals sector, Daiichi Sankyo added 3.9 percent to ¥3,210 on the news that as part of a plan to get rid of all non-core pharma businesses by early next year, it will sell two diagnostics units soon.





    September 7, 2006

    Nikkei drops 1.7 percent

    Filed under: Companies, Sony, Toyota, Matsushita Electric Industrial, Nissan, Honda, Seven & I, Sumitomo Rubber

    Export-focused stocks were the big losers in Tokyo on Thursday, but domestic stocks were down as well as equities markets there fell significantly after Wednesday’s losses on Wall Street. The Nikkei 225 fell 1.7 percent to 16,012.41, while the Topix index was 1.8 percent lower to 1,613.46. The good news, if there was any, was that the Mothers Index of small and mid-cap stocks was down just 0.3 percent to 1,327.53.

    The electronics sector was down as Sony fell another 1.6 percent to ¥4,970 on the news that its PlayStation 3 gaming console will not launch in Europe until after the Christmas season. Matsushita Electric Industrial was also 1.6 percent lower, to ¥2,490.

    Carmakers also saw declines. Nissan was down 1.8 percent to ¥1,317, while Toyota was reported to be 1.9 percent lower to ¥6,210 and Honda fell 2.8 percent to ¥3,890.

    Sumitomo Rubber dropped 4.9 percent to ¥1,198 on a lowered target share price. Morgan Stanley said it was concerned about demand in North America and Japan as it lowered the tire maker’s target from ¥1,400 to ¥1,300.

    The retail sector was down 1.7 percent as a whole, with Seven & I 2 percent lower to ¥4,010.





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