Japan’s Nikkei share average rose on Tuesday, tracking gains in Wall Street and rebounding from a sharp decline last week, but investors refrained from taking large positions before key economic data later in the week.
The Nikkei benchmark rose 0.6 per cent to 19,525.82 points by mid-morning.
After a sharp drop last week, the benchmark is down 1.3 per cent from its 15-year high of 19,778.60 hit earlier this month.
For the month, the Nikkei has gained 3.5 per cent and was set to mark its three straight monthly gain. For the quarter, it has advanced 12 per cent.
Key economic data
On the last trading day of the fiscal year, investors will likely stay on the sidelines before economic data such as the Bank of Japan’s tankan survey on Wednesday and US jobs data on Friday, analysts said.
“It's a technical rebound today amid lack of fresh cues now. The market has been sensitive to US economic data, so this Friday’s jobs data may give some direction to the market,’’ said Masaru Hamasaki, head of market & investment information department at Amundi Japan.
“If the data proves that the US economic recovery is intact, it should be positive for the global stock market in the long-term, including Japan.’’
China eases property curbs
Also boosting the risk sentiment was fresh steps by China to shore up its economy. China had on Monday cut the downpayment requirements for home buyers for the second time in six months as the cooling housing market weighs on economic growth.
Fujifilm Holdings Corp jumped 4.2 per cent to 4,389.5 yen, the highest level since January 2008, after it agreed to acquire US biotechnology firm Cellular Dynamics International Inc (CDI) for $307 million.
Pigeon Corp soared 8.8 per cent to a record high after the company carried out a 3-for-1 stock split to its common stock, effective as of May 1.
Exporters were in demand, with Toyota Motor Corp rising 1.1 per cent and Nissan Motor Co adding 1.0 per cent.
The broader Topix gained 0.5 per cent to 1,564.90 and the JPX-Nikkei Index 400 advanced 0.3 percent to 14,229.19.