TOKYO: Japanese share prices ended up 0.52 US Wednesday, capping a rocky day after a drastic cut in US interest rates and a sharp spike in the yen
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The market opened higher, tracking gains overnight on Wall Street after the Federal Reserve cut interest rates to virtually zero in a dramatic bid to prop up the ailing US economy.
e yen, raising concerns in Japan that the country's exports will become less competitive.
The Tokyo Stock Exchange's benchmark Nikkei-225 index clawed back in late trade, ending up 44.50 points at 8,612.52. The Topix index of all first section issues gained 9.84 points, or 1.19 US, to 838.46.
Dealers said that the market hoped the Bank of Japan would further cut its own super-low interest rates when its policy board meeting holds a two-day meeting starting Thursday.
"Although the market may not see a huge sell-off, exporters are likely to remain weak this week," Daiwa Securities strategist Tsuyoshi Nomaguchi told Dow Jones Newswires.
Financial shares rose after the Fed's move. Japan's top bank Mitsubishi UFJ Financial Group gained 2.2 US to 519 yen, Mizuho Financial Group added 3.2 US to 237,500 yen and Sumitomo Mitsui Financial Group advanced 4.4 US to 354,000 yen.
