Tokyo stocks close up 784 yen as risk-on mood persists but upside capped

The Nikkei Stock Average opened higher Aug. 13 and surged nearly 1,300.00 yen at one point, reclaiming the 68,000 level. The index held firm through the session, though profit-taking emerged toward the close, trimming the day's gains.

The Nikkei closed up 784.53 yen from the prior day at 68,308.59, marking a third straight session of gains. Trading volume on the Prime Market came to an estimated 2.43 billion shares, with turnover estimated at 10.20 trillion yen. Advancers numbered 1,010, while decliners totaled 498, with 48 issues unchanged.

Risk appetite centered on AI and semiconductor-related stocks continued to drive Tokyo markets Aug. 13. July U.S. consumer price index (CPI) data released the prior day showed signs of easing inflationary pressure, reducing expectations for an early Federal Reserve rate hike. U.S. equity markets responded with strong buying in technology stocks, particularly semiconductors, and Japanese equities followed suit with broad gains from the open. A firm performance by South Korea's KOSPI also provided tailwinds. However, with the overall market having risen at a brisk pace since the start of the week, conditions were ripe for profit-taking, and upside momentum faded after the initial buying wave subsided. Reports during the trading session that the government supports Bank of Japan rate hikes triggered a sharp yen appreciation, which also appeared to dampen buying sentiment. Advancing issues accounted for about 65.00% of Prime Market stocks.

Among individual movers, Murata Manufacturing Co., Ltd. <6981> and TAIYO YUDEN CO., LTD. <6976> moved higher. ADVANTEST CORPORATION <6857>, Tokyo Electron Limited <8035>, Kioxia Holdings Corporation <285A>, Lasertec Corporation <6920>, and DISCO CORPORATION <6146> posted gains, as did IBIDEN CO., LTD. <4062>, TDK Corporation <6762>, and KYOCERA CORPORATION <6971>. TOPPAN Holdings Inc. <7911> surged sharply. Hitachi, Ltd. <6501>, Recruit Holdings Co., Ltd. <6098>, and Ajinomoto Co., Inc. <2802> rose steadily. Bengo4.com, Inc. <6027> jumped notably.

On the downside, FANUC CORPORATION <6954> traded softly. KONAMI GROUP CORPORATION <9766>, BANDAI NAMCO Holdings Inc. <7832>, SONY GROUP CORPORATION <6758>, and Nintendo Co., Ltd. <7974> declined, along with TOYOTA MOTOR CORPORATION <7203>, Kao Corporation <4452>, and DAIKIN INDUSTRIES, LTD. <6367>. FAST RETAILING CO., LTD. <9983> edged lower. Plus Alpha Consulting Co., LTD. <4071> tumbled sharply.

Source: MINKABU PRESS

*Translated by generative AI. Click here for the original article.