TOKYO: Tokyo shares rebounded 0.40 percent Thursday morning, shrugging off losses on Wall Street as a weakening yen boosted exporters and official data showed another improvement in Japan s trade balance.
The Nikkei 225 index at the Tokyo Stock Exchange added 81.37 points to 20,675.04 by the break, while the Topix index of all first-section shares climbed 0.36 percent, or 6.02 points, to 1,661.39.
On currency markets, the greenback resumed its rise against the yen after a strong batch of US housing data bolstered the case for the Federal Reserve to hike interest rates.
Official figures showed sales of existing homes in the US surged in June to their highest level in more than eight years and prices hit a record high.
“It s not determined yet whether the US rate hikes will be in September or December, but the housing data strengthens the case for a September hike a little,” Mitsushige Akino, executive officer at Ichiyoshi Asset, told Bloomberg News.
Oil prices fell Wednesday after US government data showed higher crude stockpiles, adding to concerns about a global supply glut but providing generally good news for resource-poor Japan, which turned to pricey energy imports after the Fukushima nuclear crisis.
Shortly before the opening bell, finance ministry data showed Japan s trade deficit narrowed sharply last month as exports picked up while a sky-high energy import bill continues to fall.
