MDN: Nikkei ends at 5-wk high on eased eurozone debt concerns
TOKYO (Kyodo) -- The Nikkei index rose for the third straight day and closed at a five-week high Thursday as worries about the eurozone debt problems abated on news that the International Monetary Fund is seeking to expand its lending capacity to combat the crisis.
The 225-issue Nikkei Stock Average ended up 89.10 points, or 1.04 percent, from Wednesday at 8,639.68, the highest close since 8,653.82 marked Dec. 12. The broader Topix index of all First Section issues on the Tokyo Stock Exchange finished 5.70 points, or 0.78 percent higher at 740.68.
Gainers were led by the securities, sea transport, and glass and ceramics sectors. Decliners included the land transport, foods, and electricity and gas sectors.
The market was lifted after the Washington-based lender said Wednesday it aims to raise up to $500 billion in additional lending resources to avoid further contagion from the European financial crisis affecting the global economy, brokers said.
"The news on the IMF's plan was taken as a positive move to the market, as it eases concerns about the financing of European financial institutions," said Takafumi Horiuchi, strategist at Mizuho Securities Co.
The euro's advance against the Japanese yen to the mid-98 yen range, compared with levels above the 98 yen line late Wednesday in Tokyo, also supported export-linked shares, brokers said.
"The rise in the euro comes as concerns about the eurozone debt crisis have been abating recently following smooth bond auctions in the eurozone debt markets," said Masatoshi Sato, senior strategist at Mizuho Investors Securities Co.
Semiconductor-linked issues were higher on surges overnight in Wall Street counterparts. Advantest rose 49 yen, or 7.0 percent, to 753 yen and Elpida Memory added 17 yen, or 5.3 percent, to 341 yen.
Among exporters, Sony rose 22 yen, or 1.7 percent, to 1,326 yen and Nikon added 41 yen, or 2.4 percent, to 1,768 yen.
Toshiba climbed 11 yen, or 3.6 percent, to 318 yen after it said it has won an order to supply a steam turbine and generator for a thermal power plant in Kansas, the United States, for $80 million.
Major general contractor Kajima shed 6 yen, or 2.3 percent, to 252 yen on selling by investors to lock in profits due to recent rises.
On the First Section, advancing stocks outnumbered declining ones 889 to 620, with 163 others remaining unchanged.
Trading volume on the main section fell to 2,131.68 million shares from Wednesday's 2,356.68 million.