Tokyo stocks open higher after Wall Street bounce

Tokyo: Tokyo stocks opened higher on Thursday as investors took heart from a slightly cheaper yen and a rebound in US shares.

The benchmark Nikkei 225 index was up 0.39 percent or 84.43 points at 21,591.97 in early trade, while the broader Topix index was down 0.27 percent or 4.40 points at 1,620.29.

The dollar edged up to 113.10 yen in early Asian trade from 113.04 yen in New York.

On Wall Street, share prices recovered as the technology sector ended a two-day haemorrhage, although analysts said the respite may be temporary.

“Japanese shares are supported by the halt in falls in US shares and a cheaper yen against the dollar,” Toshiyuki Kanayama, senior market analyst at Monex, said in a commentary.

Some blue-chip exporters were higher, with Olympus gaining 2.26 percent to 3,385 yen and Panasonic trading up 0.58 percent at 1,109 yen.

Mitsubishi UFJ Financial dropped 3.09 percent after a report said US prosecutors are investigating the Japanese mega bank over alleged breaking of anti-money laundering rules involving North Korea.

Its rival Sumitomo Mitsui Financial was down 0.72 percent at 4,126 yen.

Nissan was up 0.51 percent at 959 yen ahead of its board meeting that will propose the sacking of its disgraced chairman Carlos Ghosn.

Its smaller group firm Mitsubishi Motors was up 0.74 percent at 678 yen, while Toyota was up 0.92 percent at 6,777 yen.

In New York, the Dow closed flat at 24,464.69 while the tech-rich Nasdaq ended up 0.9 percent at 6,972.25 after two days of rout.