TOKYO: The Japanese stock market rose on Monday following the positive cues from Wall Street on the back of strong U.S. jobs data as well as U.S. President Donald Trump’s efforts to roll back financial regulations. However, the market has now pared most of its gains and is modestly higher, with a stronger yen weighing on investor sentiment. In late-morning trades, the benchmark Nikkei 225 Index is adding 25.43 points or 0.13 percent to 18,943.63, off a high of 19,075.57 earlier. Among the major automakers, Toyota is up 0.3 percent and Honda is adding 3 percent. In the banking sector, Mitsubishi UFJ Financial is rising almost 4 percent, Sumitomo Mitsui trust Financial is gaining more than 2 percent and Resona Holdings is adding more than 1 percent following news about Trump’s efforts to roll back financial regulations.
In the oil space, Inpex is up 0.7 percent and JX Holdings is rising almost 1 percent as crude oil prices rose. Among the other major gainers, Yahoo Japan is rising almost 15 percent, Nippon Suisan Kaisha is gaining more than 9 percent and Nippon Electric Glass is higher by almost 7 percent. On the flip side, Yamaha Corp. is losing almost 10 percent, Kikkoman Corp. is down almost 5 percent and Mitsubishi Electric is lower by more than 3 percent. On the economic front, Japan will release December data for labor cash earnings today. In the currency market, the U.S. dollar traded in the lower 112 yen-range on Monday. On Wall Street, stocks closed higher on Friday after a report from the Labor Department showed stronger than expected job growth in January, but a slowdown in the pace of wage growth. Traders also reacted to news of President Donald Trump’s efforts to roll back financial regulations. Trump signed two executive orders on regulations, including an order calling for a review of the Dodd-Frank Wall Street Reform and Consumer Protection Act.
The Dow jumped 186.55 points or 0.9 percent to 20,071.46, the Nasdaq climbed 30.57 points or 0.5 percent to 5,666.77 and the S&P 500 advanced 16.57 points or 0.7 percent to 2,297.42. he major European markets also moved to the upside on Friday. While the German DAX Index edged up by 0.2 percent, the U.K’.s FTSE 100 Index and the French CAC 40 Index both advanced by 0.7 percent. Crude oil futures rose Friday amid mounting tensions between the U.S. and Iran. WTI crude oil for March delivery rose $0.29 to settle at $53.83 a barrel on the New York Mercantile Exchange.
