TOKYO, Japan (AFP) — Tokyo stocks opened higher on Monday on hopes for progress in US-China trade talks.
The benchmark Nikkei 225 index was up 1.55 percent or 324.31 points at 21,224.94 in early trade, while the broader Topix index was up 1.41 percent or 22.31 points at 1,599.60.
“Risk sentiment was kicked off Friday by the (US) President averting another government shutdown… He was then briefed on Saturday by his key economic and trade officials on the trade talks, David de Garis, an analyst at National Australia Bank, said in a note.
Donald Trump said Saturday he was briefed at his Florida resort by negotiators working to reach a trade deal with Beijing after their return from “very productive” meetings with Chinese officials.
“Trade negotiators have just returned from China where the meetings on Trade were very productive. Now at meetings with me at Mar-a-Lago giving the details,” the president tweeted.
Investors are keeping their eyes on the trade talks that continue this week, while also watching Japan’s trade balance in January due on Wednesday, analysts said.
“A decline in exports is expected to get sharper, but if the pace is better than market expectations, that would prompt optimism that China-linked companies’ performance may pick up,” Tsuyoshi Nomaguchi, strategist at Daiwa Securities, said in a commentary.
The dollar fetched 110.50 yen in early Asian trade, against 110.43 yen in New York on Friday.
In Tokyo, automakers were among winners, with Toyota gaining 0.89 percent to 6,664 yen, Honda up 1.02 percent at 3,003 yen and Nissan up 1.44 percent at 948.5 yen.
Bridgestone was up 6.84 percent at 4,482 yen after it announced a major buyback of its shares.
SoftBank Group was up 1.93 percent at 10,535 yen after a report that the telecom and investment group is closing in on an investment in German online travel guide and booking website GetYourGuide.
On Wall Street, the Dow rallied 1.7 percent to end at 25,883.25.
© Agence France-Presse
