Japanese stocks touched their highest level in 29 years today, Monday, after the economy grew for the first time in four quarters and in light of progress towards a Corona vaccine, which continued to raise global markets.
The benchmark Nikkei index closed 2.05 percent higher at 25,906.93 points, its highest close since June 1991. The broader Topix index rose 1.68 percent to 1731.81 points.
Japan's economy grew at a faster than expected annual rate of 21.4 percent between July and September, after shrinking 28.8 percent between April and June of this year.
Among the top 30 stocks on Topix, the gains were led by Honda Motor, which rose 4.84 percent, and Mitsubishi Financial Group, which gained 3.48 percent, while Nintendo fell 1.91 percent, and Takeda Pharmaceutical Industries, up 0.97 percent.
Sentiment was boosted after Chinese data showed factory production in the world's second largest economy grew faster than expected last month, and retail sales increased, as the recovery momentum from the Corona recession intensified.
Analysts advise to be wary of excessive optimism about the vaccine, in light of the re-imposition of restrictions in the United States, Europe and other countries to contain the high numbers of new cases of Corona, which may fuel market fluctuations.
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