This file photo shows the Tokyo Stock Exchange on Oct. 2, 2020. (Mainichi)
TOKYO (Kyodo) -- Tokyo stocks ended slightly higher Tuesday as sentiment was supported by strong U.S. jobs data for July and positive earnings results from Japanese companies.
The 225-issue Nikkei Stock Average ended up 68.11 points, or 0.24 percent, from Friday at 27,888.15. The broader Topix index of all First Section issues on the Tokyo Stock Exchange finished 6.94 points, or 0.36 percent, higher at 1,936.28.
Japanese financial markets were closed Monday for a national holiday.
Gainers were led by air transportation, pharmaceutical, and land transportation issues.
The U.S. dollar inched up into the mid-110 yen range as the unit was bought after strong jobs data fueled speculation that stimulus tapering plans will be moved forward and the interest rate gap between the United States and Japan widened, dealers said.
At 5 p.m., the dollar fetched 110.44-45 yen compared with 110.29-39 yen in New York at 5 p.m. Monday.
The euro was quoted at $1.1731-1733 and 129.56-60 yen against $1.1731-1741 and 129.46-56 yen in New York late Monday afternoon.
The 10-year Japanese government bond yield inched up 0.010 percentage point from Friday's close to 0.020 percent, tracking an overnight rise in U.S. Treasury yields as investors bought the safe-haven debt on expectations that the U.S. jobs data would lead to earlier stimulus tapering plans. Bond yields move inversely to prices.
Stocks moved in positive territory in the morning, with the Nikkei briefly topping the 28,000 mark for the first time in two weeks on upbeat quarterly earnings by Japanese companies, but momentum slowed in the afternoon amid a lack of fresh trading cues.
"Positive U.S. jobs data pushed the market up in the morning, but investors became cautious as the benchmark hit the 28,000 threshold and they moved to lock in profits," said Koichi Fujishiro, a senior economist at the Dai-ichi Life Research Institute.
The U.S. Labor Department said Friday the country had added 943,000 jobs in July, exceeding the market consensus of 870,000, while its unemployment rate declined 0.5 percentage point from June to 5.4 percent.
In addition to moves to take profits, the market was also weighed on by uncertainty over a global economic recovery due to a surge in Delta coronavirus variant infections, he added.
On the First Section, advancing issues outnumbered decliners 1,311 to 790, while 88 ended unchanged.
Mitsui Mining and Smelting jumped 270 yen, or 8.8 percent, to 3,355 yen, after the nonferrous metal supplier said Friday it had revised upward its earnings estimate for the business year through March, increasing its net profit outlook by 68.2 percent from the previous forecast in May.
Meanwhile, concerns that Chinese authorities would tighten restrictions toward gaming related companies brought down respective issues.
Bandai Namco Holdings fell 303 yen, or 3.9 percent, to 7,461 yen, Sony Group sank 285 yen, or 2.5 percent, to 11,115 yen, while Nintendo slid 1,600 yen, or 3.1 percent, to 50,810 yen.
Trading volume on the main section rose to 1,087.59 million shares from Friday's 991.69 million shares.
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