The Nikkei Stock Average added 105.60 points, or 0.36%, to 29,126.23, while the Topix index of all First Section issues on the Tokyo Stock Exchange rose 3.17 points, or 0.17%, to 1,918.15
Japan share market closed higher after recouping earlier losses on Monday as bargain-hunting underpinned on expectations of solid corporate earnings reports from major Japanese companies. However, market gains capped after tougher restrictions to curb the spread of coronavirus infections in Japan were imposed.
At closing bell, the 225-issue Nikkei Stock Average added 105.60 points, or 0.36%, to 29,126.23. The broader Topix index of all First Section issues on the Tokyo Stock Exchange rose 3.17 points, or 0.17%, to 1,918.15.
Total 22 sub-indexes of the 33 sector sub-indexes on the Tokyo exchange traded higher, with Air Transportation, Land Transportation, Iron & Steel, Marine Transportation, Nonferrous Metals, Real Estate, and Textiles & Apparels issues being notable gainers, while Pharmaceutical, Warehousing & Harbor Transportation Services, Rubber Products, and Chemicals issues were notable losers.
Tokyo stocks opened lower on Monday after tougher restrictions to curb the spread of coronavirus infections in Japan were imposed on Friday declaring “short and powerful” states of emergency for Tokyo, Osaka and two other prefectures, requiring restaurants, bars and karaoke parlours serving alcohol to close. Market managed to recoup losses late afternoon as bargain hunting resumed on expectations of solid corporate earnings reports from major Japanese companies.
Japan is facing a fourth wave of the pandemic, with new cases surging in big cities including Tokyo and Osaka. The rapid rise in deadlier COVID-19 variant cases has also become a point of concern for investors — as has the slow pace of Japan’s rollout of vaccines. Little over 1% of the population has received a first dose.
Travel-related shares advanced on bargain hunting, with ANA Holdings rising 5.8% after the airline said its full-year operating loss would be smaller than previously forecast.
Railway companies stocks also soared, with Central Japan Railway, West Japan Railway and East Japan Railway rising 4.7%, 5.2% and 3.4%, respectively.
