Tokyo stocks close up 0.50pc

June 11, 2014 - 10:05:07 am

TOKYO: Tokyo stocks closed 0.50 percent higher Wednesday following another record close on Wall Street, but low volume and an absence of trading cues capped further gains.

The benchmark Nikkei 225 index rose 74.68 points to finish at 15,069.48, while the Topix index of all first-section shares climbed 0.84 percent, or 10.34 points, to 1,239.07.

In New York, the Dow and S&P 500 have broken records on a regular basis in the past two weeks.

While that rally stalled Tuesday, the Dow still eked out a 0.02 percent to hit a record high, while the S&P 500 dipped 0.02 percent from an all-time high. The Nasdaq nudged up 0.04 percent.

Tokyo got a boost from Wall Street's lead, but trading volume was low as many investors stuck to the sidelines after a rally driven by upbeat data on the US jobs market, Japanese economic growth, and Chinese manufacturing and trade.

"Some had thought that Prime Minister (Shinzo) Abe might make his economic policy presentation as early as this week, but that also appears to be down the road," removing another trading peg, said an equity trading director at a European brokerage.

The Japanese prime minister is set to unveil a slate of reforms this month as he tries to boost the world's third largest economy.

The main focus for the rest of the week will be on the Bank of Japan's monetary policy meeting that concludes Friday, with investors hoping for a lead on whether it plans to unveil any fresh stimulus measures.

Toyota ended up 1.10 percent to 5,874 yen despite announcing global recalls of 2.27 million vehicles for an airbag system defect.

On currency markets, the dollar weakened to 102.29 yen from 102.35 yen in New York Tuesday. (AFP)