TOKYO Oct 3 Japanese stocks rose on Monday as
global risk asset markets took heart from easing concerns over
Deutsche Bank, triggering a relief bounce in financial sector
The Nikkei rose 1.2 percent to 16,640.70 after
losing 1.5 percent on Friday.
Tokyo shares received an early lift from Friday's gains on
The S&P financial sector saw its best performance in
roughly two months on Friday, with Deutsche Bank shares surging
on a report that the German lender was close to a more
favourable settlement with U.S. authorities over the sale of
toxic mortgage bonds.
"The latest developments regarding Europe's banking sector
has helped lift the market. But while an element of uncertainty
has been removed, it has not provided fresh direction," said
Soichiro Monji, chief strategist at Daiwa SB Investments.
"There's a bit of fatigue in the market towards central bank
monetary policy and it will likely look to economic indicators
for incentives this week."
The Nikkei showed little reaction to the Bank of Japan's
tankan survey, which revealed that confidence among big Japanese
manufacturers was flat in the three months to September and
service-sector sentiment worsened to its lowest in nearly two
Tokyo's bank index was up 1.6 percent after
sliding 2.3 percent on Friday when jitters over Deutsche Bank
weighed on the sector.
Mitsubishi UFJ Financial Group rose 1.1 percent,
Sumitomo Mitsui Financial Group gained 0.9 percent and
Mizuho Financial Group added 1.1 percent.
Kawasaki Heavy Industries Ltd fell 10.9 percent
after the company revised its operating profit forecast for the
year through March 2017 to 34 billion yen ($335.37 million) from
70 billion yen, citing a stronger yen and a decline in
profitability from its shipbuilding business.
Kawasaki Heavy said it may pull out of shipbuilding and aims
to reach a decision by the end of March.
Coca-Cola West climbed 6.2 percent after the
company proposed on Friday a formal integration date with
Coca-Cola East Japan.
Coca-Cola Bottlers Japan Inc is expected to be established
on April 1, 2017 as a result of the integration.
The broader Topix gained 1.1 percent to 1,336.64 and
the JPX-Nikkei Index 400 rose 1 percent to
($1 = 101.3800 yen)
(Editing by Shri Navaratnam)