TOKYO, Oct 11 (Businesshala) – Japan’s Nikkei share average rose for a third straight session on Monday, as the yen edged higher in exporters and a fall in COVID-19 infections supported investor sentiment.
The Nikkei was up 1.57% to 28,488.95 by the afternoon break, while the broader top was up 1.41% to 1,989.51 and headed for a second straight session of gains.
Gains in other Asian stock markets also supported Japanese stocks. The index of Asia-Pacific shares excluding Japan rose 0.56% as Hong Kong’s Hang Seng index jumped 2%
New cases of coronavirus infections in Japan fell to 553 on Sunday, the lowest in nearly a year, according to public broadcaster NHK. At the height of Japan’s fifth wave in late August, the number was closer to 26,000.
“The rapid decline in coronavirus infections across the country has taken away a reason for investors to be cautious, and they are buying back shares,” said a market participant at a domestic securities firm.
Air transport was the best performing Topics sector with a growth of 2.64%. ANA Holdings increased by 2.63% and Japan Airlines by 2.66%.
Meanwhile, the yen fell to 112.50 per dollar for the first time since December 2018. A weak currency increases the value of goods sold overseas when profits are made back.
Toyota Motor rose 2.6%, while Mitsubishi Motors grew 4.93% and Nissan Motor grew 4.53%.
Panasonic Corp was the biggest gainer on the Nikkei with a 6.71% advance.
Sony Group grew 3.92% amid a report that it may build a new chip plant with TSMC in Japan. (Reporting by Tokyo Markets team; Editing by Subhranshu Sahu)