Japan stocks inch up as yen appreciation eases
By DPA, IANSTuesday, October 26, 2010
TOKYO - Japanese stocks rose in early Wednesday trading, buoyed by a halt in the yen’s rise against the US dollar, which in recent weeks had seen its highest levels in 15 years.
The benchmark Nikkei 225 Stock Average gained 64.36 points, or 0.69 percent, to trade at 9,441.74 while the broader Topix index was up 3.69 points, or 0.45 percent, at 821.63.
On currency markets at 9 a.m. (0000 GMT), the dollar traded at 81.41-42 yen against Tuesday’s 5 p.m. quote of 81.19-20 yen. The euro traded at $1.3843-3844, down from $1.3945-3946 Tuesday, and 112.70-72 yen, down from 113.22-26 yen.
Japanese Prime Minister Naoto Kan’s cabinet approved a 5.09-trillion-yen ($62.9 billion) stimulus package Tuesday to address the yen’s rise and counter deflation.
A stronger yen has a negative impact on Japanese exporters as it makes exports less competitive and erodes overseas earnings when revenues are repatriated.
