RtS, I maybe one of those, those who remain too bullish, but here I go again, Stan :0)
Tokyo Stocks Up; Nokia, Data Boosts Techs
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The Nikkei likes the B 2 B
story.news.yahoo.com
By Daniel Hauck
TOKYO (Reuters) - Japanese stocks ended morning trading higher on Friday, with Rohm Co and other high-tech firms up after a forecast from Finland's Nokia (news - web sites) of solid growth and encouraging North American economic data.
News that North American chip equipment orders edged up in March boosted techs, helping push the Nikkei average up 0.66 percent to 7,873.81, after a 0.73 percent fall on Thursday.
The broader TOPIX index rose 0.31 percent to 791.98.
"Tech shares have been fueled by Nokia and the jump in the Nasdaq index, and the chip figures were also encouraging given that the Iraq (news - web sites) issue loomed large in March," said Tsuyoshi Nomaguchi, a strategist at Daiwa Securities.
Statistics released by the Semiconductor Equipment and Materials International (SEMI) on Thursday showed a ratio of orders to billings -- known as the book-to-bill ratio -- of 0.99 for March, compared to 0.98 for February, a sign recovery may be on the way for the industry following its worst ever downturn.
That helped send chip equipment giant Tokyo Electron up 2.93 percent to 4,570 yen, while custom chipmaker Rohm was up 3.54 percent at 12,000 yen.
Other tech firms also received a boost from Nokia's forecast that second-quarter sales at its cellphone unit would rise between four and 12 percent, a step up from the one percent growth in the first quarter.
Cellphone components maker Murata Manufacturing Co Ltd ended the morning up 0.95 percent at 4,270 yen, while Matsushita Electric Industrial Co Ltd was up 1.83 percent at 948 yen.
Other notable gainers included Wal-Mart Stores Inc's affiliate Seiyu Ltd Japan's fourth-largest supermarket chain saw its shares rise 9.73 percent to 282 yen after a report Seiyu plans to shed 2,500 jobs, or 40 percent of its full-time positions, over the next three years to cut costs.
Trading edged lower ahead of Friday's U.S. market holiday, with 418.74 million shares changing hands on the main board, down from 424 million on Thursday morning.
Gainers outnumbered decliners 761 to 539.
SUPPLY PROBLEM STILL WEIGHS
Data from a Philadelphia Federal Reserve (news - web sites) survey showing U.S companies reporting "a fairly high degree of optimism" about the future also provided cheer to Japan's share markets, which have been dependent on the U.S. markets for buying impetus with a dearth of good news on the domestic front.
"But it's too early yet to make much of a judgment on the possible post-Iraq bounceback in the U.S. economy," said Daiwa's Nomaguchi.
Investors also said any gains would continue to be limited by fears of selling by corporate pension funds, which are expected to unload widely held shares before returning part of their pension assets to the state.
Takeda Chemical Industries Ltd, whose shares have been battered by the pension issue despite strong earnings prospects, fell 1.25 percent to 3,940 yen in morning trading after a short-covering fueled Thursday rebound.
"Since the share price had fallen so low and their earnings are so solid, the shares rebounded," said Yoshihisa Okamoto, Senior Vice President at Fuji Investment Management said. "But the pressure on these shares is going to continue, with the supply problem possibly peaking in the summer." |
