Tokyo stocks open higher after Wall St gains
Tokyo, Japan | AFP | Wednesday – Tokyo stocks opened higher on Wednesday after solid US corporate earnings sent Wall Street higher.
The benchmark Nikkei 225 index rose 0.37 percent, or 82.46 points, to 22,592.94 in early trade while the broader Topix index was up 0.37 percent, or 6.42 points, at 1,753.28.
Wall Street stocks finished mostly higher Tuesday, backed by generally strong earnings from Google parent Alphabet, United Technologies and others.
"Corporate results will be a major driving force for the time being in US markets," Okasan Online Securities chief strategist Yoshihiro Ito said in a commentary.
But he added: "There are quite a few cautious voices saying good corporate results may not simply keep boosting share prices as trade worries weigh."
The US government on Tuesday announced $12 billion in aid for farmers who have been the primary targets of retaliation by trading partners facing President Donald Trump’s punishing tariffs.
"President Trump is not only amping up the rhetoric, he has now also introduced offsetting measures against China’s retaliation," said Rodrigo Catril, senior foreign exchange strategist at National Australia Bank.
"The threat of even larger tariffs is keeping the market weary and it doesn’t seem like anyone will be blinking any time soon," he said in a client note.
The dollar was trading at 111.27 yen against 111.20 yen in New York Tuesday afternoon.
In Tokyo trade, Mitsubishi Motors fell 4.62 percent to 886 yen with investors underwhelmed by its April-June profit growth.
Nissan was up 0.48 percent at 1,037 yen and Sony rose 1.86 percent to 5,946 yen.