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Japan Nikkei bounces on bargain hunting

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Headline indices of the share market were higher on Monday, 10 September 2018, as investors chased for bottom fishing following the six-session losing streak and upbeat Japanese economic data. However, market gains were limited, amid negative cues from Wall Street Friday and concerns lingering over trade issues. Total 24 issues out of 33 index inclined, with shares of Insurance, Mining, Banks, Marine Transportation, Information & Communication, and Machinery issues being notable gainers, while Fishery, Agriculture & Forestry, Retail Trade, and Land Transportation issues were notable losers. In late afternoon trade, the 225-issue Nikkei Stock Average rebounded 58.27 points, or 0.26%, to 22,365.33. The broader index of all First Section issues on the Stock Exchange, meanwhile, grew 6.73 points, or 0.4%, to finish at 1,691.04.

US on Friday signalled his intention to impose tariffs on additional $267 billion, in addition to the proposed 25% duty to be levied on $200 billion of Chinese goods. The US has already imposed additional tariffs of 25% on $50 billion of Chinese goods on 23 August under Section 301 on grounds of alleged theft of American intellectual property rights and forced transfer of technology from US companies by With additional tariffs on the proposed $200 billion Chinese goods, the total IPR (intellectual property rights)-related tariffs on Chinese goods will go up to $250 billion.

The is currently struggling to finalize the list of Chinese goods of $200 billion that would be subjected with additional tariffs because of opposition from American businesses. Many US companies making bicycles to laptops and mobile phones, including Apple Inc., are seeking exemptions from the proposed tariffs on $200 billion Chinese goods, while cautioning that the tariffs will adversely hit America's economic interests.

Adding to the tensions, data out Friday showed China's trade surplus with the widened to a record in August, an outcome that could further inflame Sino-U. S. trade tensions. Trump, who is challenging China, Mexico, and the on trade issues, has now expressed displeasure about his country's large trade deficit with He said on Friday trade discussions with has begun and added that has also asked to start talks on a trade deal.

Also weighing on global shares was the prospect of faster rate rises by the Federal Reserve after data on Friday showed U.

S. jobs growth accelerated in August and wages notched their largest annual increase in more than nine years.

Shares of export-related companies gained ground on bargain hunting. Panasonic, Mitsubishi Electric, Sony Corp, rose in a range of 0.1% to 1%. shed 2% and dropped 2.5%.

Financial stocks gained ground, with up 2.2%, up 1.4% and up 1%.

shares dived 16% after expects operating profit to drop 14.9% for the year ending July 2019.

ECONOMIC NEWS: The said on Monday that Japan had a current account surplus of 2,009.7 billion yen in July 2018, up from 1,175.6 billion yen in June. The trade balance showed a deficit of 1.0 billion yen, following the 820.5 billion yen surplus in the previous month. The adjusted current account surplus was 1,484.7 billion yen, down from 1,762.4 billion yen a month earlier.

Japan GDP jumps 3% in Q2 -- Japan's expanded 3% on year in the second quarter of 2018, up from the previous reading of 1.9%, according to data from the Cabinet Office released on Monday. On an annualized seasonally adjusted basis, GDP added 0.7%, unchanged from the previous reading.

CURRENCY NEWS: slightly was little changed against greenback as a flood of local economic data crossed the wires early into Monday's trading session. The dollar was quoted at 110.92-93 yen compared with 110.95-111.05 yen in and 110.74-75 yen on Friday in

OFFSHORE MARKET NEWS, US stock market closed down on Friday. The Dow Jones Industrial Average fell 79.33 points or 0.3% to 25,916.54, the Nasdaq dipped 20.18 points or 0.3% to 7,902.54 and the slipped 6.37 points or 0.2% to 2,871.68.

The major European stock markets ended mixed on Friday. The U. K.'s Index fell by 0.6%, while the German DAX Index closed marginally higher and the French Index edged up by 0.2%.

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(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Mon, September 10 2018. 10:01 IST