Japanese shares up on weaker yen, US gains
By DPA, IANSSunday, February 13, 2011
TOKYO - Japanese stocks rose in Monday morning trading following a rally on Wall Street as exporters were buoyed by the yen’s fall against the dollar.
The benchmark Nikkei 225 Stock Average gained 80.78 points, or 0.76 percent, to trade at 10,686.43 while the broader Topix index was up 8.45 points, or 0.89 percent, at 955.08.
Japan’s economy contracted at an annualised pace of 1.1 percent in the October-December period, the first contraction in five quarters, the government said before the market opened.
But the figure was better then the annualised 2.2-percent contraction forecast by economists in a survey by Kyodo News.
US stocks climbed Friday after Egyptian leader Hosni Mubarak stepped down following 18 days of large-scale protests against his 30-year rule. The resignation eased fears of instability in the oil-rich region.
The Tokyo market was closed for a public holiday Friday.
On currency markets at 9 a.m. (0000 GMT), the dollar traded at 83.44-47 yen, up from Thursday’s 5 p.m. quote of 82.61-64 yen.
A weaker yen makes Japanese products, such as electronics and cars, more competitive abroad and improves repatriated earnings.
The euro traded at $1.3513-3516, down from $1.3679-3682 Thursday, and at 112.75-80 yen, down from 113.00-03 yen.
