LOS ANGELES: Japanese stocks bopped modestly higher in early Tuesday trade, with a weaker yen helping some tech names, but with Sharp Corp. 6753, -3.54% SHCAF, +12.43% plunging on a report it will seek financial help from its two main creditors. The Nikkei Stock Average NIK, -0.06% rose 0.2%, off its opening high but still enough to double its 0.2% advance on Monday.
The broader Topix also added 0.2%. With the dollar USDJPY, -0.37% back above ¥120 (buying ¥120.15 vs. ¥119.96 at the previous close), some of the tech exporters floated higher, including Olympus Corp. 7733, +0.00% OCPNF, -0.29% (up 1.3%), Fuji Electric Co. 6504, -0.34% FELTF, +38.57% (up 1%), Japan Display Inc. 6740, +0.00% (up 1.9%), and Trend Micro Inc. 4704, +3.22% TMICY, -1.43% (up 1.4%). But those gains were offset in part by a 8.3% drop for Sharp, as the Nikkei reported the company was seeking a $1.24 billion debt-for-equity swap as it prepares for a restructuring, “including closing four plants and exiting or selling its money-losing solar-panel business.” Some of the other top tech names swung to negative territory after Sharp opened for trade, with Hitachi Ltd. 6501, -0.57% HTHIF, +0.29% off 0.1%, and Sony Corp. 6758, -0.01% SNE, -0.74% down 0.8% despite a 0.7% overnight gain for its U.S.-listed shares. Among other movers, NTT DoCoMo Inc. 9437, +2.76% DCM, +1.40% rose 1.4% — the only major telecom to trade higher Tuesday morning — amid news it would be conducting a test of 5G wireless service with Nokia Corp. NOK, +0.87% according to Dow Jones. Chugai Pharmaceutical Co. 4519, +2.22% CHGCY, +1.90% rose 2.2% after it and U.S.-based Athersys Inc. ATHX, -0.34% announced a partnership to market an ischemic stroke treatment in Japan.
