TOKYO, Aug 13 — Tokyo shares opened higher today after overnight surges on major markets, including Wall Street, triggered by increasing hopes for economic recovery.
The benchmark Nikkei 225 index jumped 276.65 points or 1.21 per cent to 23,120.61 in early trade, while the broader Topix index rose 13.56 points or 0.84 per cent to 1,619.09.
The strong open in Tokyo came after global shares racked up healthy gains as investors regained their optimism about an economic recovery.
The Nasdaq added 2.1 per cent while the Dow rose 1.1 per cent.
A string of recent indicators, including solid US jobs data, “show macroeconomic data are gaining momentum toward recovery”, Okasan Online Securities said in a note.
“The Tokyo market is also benefiting from a weaker yen. After the strong open, shares are expected to stay strong,” it said.
The dollar stood at ¥106.76 (RM4.19), essentially keeping its ground since New York, where it bought 106.86 yen.
“Investors are returning to major shares that had been taking a breather, and this is driving up the entire market,” Okasan said.
Investors are also welcoming news about progress on the development of vaccines for the coronavirus, the brokerage said.
Russian President Vladimir Putin declared that his nation had developed the world’s first safe coronavirus vaccine, though the claim has met with scepticism in the international scientific community.
US President Donald Trump has also announced a US$1.5 billion (RM6.28 billion) contract with US biotech company Moderna for 100 million doses of an eventual coronavirus vaccine, the sixth such deal reached since May.
Among major shares in Tokyo, Toyota rose 1.41 per cent to 7,346 points, while Uniqlo operator Fast Retailing added 2.33 per cent to ¥61,510. Sony jumped 2.80 per cent to 8,699.
Construction equipment maker Komatsu added 1.01 per cent to ¥2,299.5, while Mitsubishi UFJ Financial Group rose 0.52 per cent to 441.7. — AFP
