TOKYO: Japanese stocks swung between gains and losses as investors weighed positive earning results with weaker-than-expected Chinese economic data.
Nissin Foods Holdings Co. jumped 4.4 percent after net income rose 35 percent. Textile makers gained as broker Nomura Holdings Inc. upgraded its outlook on Toray Industries Inc. Mabuchi Motor Co., a maker of electronic motors that gets 62 percent of revenue from Asia, sank 11 percent to lead declines among firms that rely on China for sales. Tokyo Electric Power Co. tumbled 7.8 percent after being left out of the JPX-Nikkei Index 400.
The Topix rose 0.1 percent to 1,680.78 as of 12:44 p.m. in Tokyo, reversing a loss of 0.5 percent. The Nikkei 225 Stock Average added less than 0.1 percent to 20,733.48, swinging from a 0.5 percent decline. China at the weekend reported a bigger-than-expected slide in exports and the steepest slump in producer prices since 2009.
“Earnings at companies that rely on domestic demand or those in defensive sectors are showing resilience,” said Koji Toda, chief fund manager at Resona Bank Ltd. in Tokyo. On the other hand, “even though equity indexes are at highs, shares of companies expanding business in emerging markets are beginning to turn lower.”
