Thu, 02 Dec 2021

TOKYO, Oct. 20 (Xinhua) -- Tokyo stocks closed slightly higher Wednesday, with sentiment at first boosted by earnings from key U.S. companies overnight which was stronger than expected and later depressed by selling in high-tech issues amid higher U.S. Treasury yields.

The 225-issue Nikkei Stock Average finished up 40.03 points, or 0.14 percent, from Tuesday at 29,255.55.

The broader Topix index of all First Section issues on the Tokyo Stock Exchange ended 1.10 points, or 0.05 percent, higher at 2,027.67.

Gaining issues were led by air transportation, land transportation and securities house issues.

The benchmark Nikkei Index rose more than 200 points at one time, as U.S. corporate earnings for the July-September quarter were strong, and Nikkei heavyweights as well as cyclical stocks sensitive to economic fluctuations also led the market.

However, gradually shrinking gains were observed later, and investors secured profits by selling some export-related stocks that had benefited from the recent decline in the yen-to-dollar exchange rate and technology stocks that had risen rapidly due to falling U.S. Treasury yields.

"The market was weighed down by selling in high-growth tech stocks as an upward trend in U.S. (Treasury) yields continued" during after-hours trading, said Seiichi Suzuki, chief equity market analyst at the Tokai Tokyo Research Institute.

"Some investors also refrained from making bold moves ahead of Japanese firms' earnings results and a House of Representatives election next week," Suzuki said.

On the First Section, decliners outnumbered advancers 1,280 to 790, while 114 finished unchanged.

Among Nikkei heavyweights, Fast Retailing increased 0.6 percent, and SoftBank Group gained 4.4 percent.

Chip silicon wafer manufacturers Sumco fell 2.0 percent, while Shin-Etsu Chemical sank 1.1 percent. Chip test system maker Advantest dropped 0.3 percent.

Trading volume on the main section increased to 1,117.80 million shares from Tuesday's 992.79 million shares.

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