TOKYO, Nov 11 (Businesshala) – Japanese shares closed higher on Thursday as investors were selective and scooped up stocks that were lower relative to their latest outlooks, while concerns over the impact of rising costs fueled risk appetite. Got hurt
The Nikkei stock average closed 0.59% higher at 29,277.86, after losing 0.2% earlier in the session to track the overnight weakness on Wall Street. Broader Topics rose 0.32% to 2,014.30.
Wall Street closed sharply down overnight as rising consumer prices dampened investors’ risk appetite, and heightened concerns of a long wave of red-hot inflation.
“Investors bought shares whose prices were undervalued relative to their latest outlook. Ikuo Mitsui, fund manager at Aizawa Securities, said, “We are seeing a clear divergence in stock prices between strong earners and non-earners.
“But we may see no signs of an end to the global trend of rising costs in materials and transportation, which is weighing on investor sentiment.”
Toppan Printing grew 8.11% after the printing company raised its annual outlook. Showa Denko also rose 6.93%, as the industrial materials maker returned to gains.
Pacific Metals rose 17.09% after an influential activist fund disclosed its stake in the creation of Ferronikel.
On the other hand, cosmetics maker Shiseido and brewery Asahi Group Holdings fell 3.83% and 3.94%, respectively, after cutting their annual profit outlook.
Pan Pacific International Holdings posted a 9.59% decline after the discount stores operator missed market expectations.
Fanuc Corp, up 3.67%, was the top most received among the Top 30 Topics Names, followed by Daiichi Sankyo.
The underperformer in the Topix 30 was Seven & I Holdings Company, which fell 1.19%, followed by Honda Motor, which fell 0.67%. (Editing by Shailesh Kuber)