4:30 PM Tokyo – Nikkei average in Tokyo edged up after pharmaceuticals and precision instruments stocks increase and current account surplus in September narrowed and bank lending in October jumped. Toray Industries signed a long-term agreement worth about 1.3 trillion yen with the Boeing Co.
Banks stocks move forward in the afternoon after the regional lenders reported better-than-expected results and Prime Minister Shinzo Abe’s government plans to increase the deposit limit of saving accounts.
Pharmaceuticals and precision instruments led the gainers and pulp and paper and utilities companies led the decliners.
Stocks in Tokyo closed in a volatile session after current account surplus in September narrowed from August and overall bank lending in October jumped 2.5%.
Recruit Holdings forecasted revenues for the year to soar 19% to 1.6 trillion yen and Toray Industries signed a long-term agreement worth about 1.3 trillion yen with the Boeing Co to supply carbon fibre for the production of new Boeing 777X aircraft.
Toray also invest 50 billion yen to increase the production and stable supply of products.
The current account surplus in September narrowed to 1,468.4 billion yen from surplus of 1,653.1 billion yen in August, the Ministry of Finance said.
The adjusted current surplus declined to 776.2 billion yen from 1,590.1 billion yen in the previous month.
Overall bank lending in October jumped 2.5% to 492.611 trillion yen and unchanged from the previous month, the Bank of Japan reported.
Total lending from the trusts increased 2.3% to 64.42 trillion yen while lending from foreign banks fell 0.5% to 1.86 trillion yen.
The Nikkei 225 Stock Average edged up 28.52 to 19,671.26 and the broader Topix index slid 1.49 to 1,589.48.
The yen weakened to 123.32 against a dollar.
Stocks in Review
Daifuku Co., Ltd
jumped 2.3% to 1,892 yen after the material handling equipment maker reported net sales in the first-half ending in September soared 23.3% from a year ago to 152.79 billion yen.
Net income in the period surged 46.8% to 6.18 billion yen compared to 4.21 billion yen and earnings per share rose to 50.79 yen from 34.60 yen.
The company forecasted net sales for the year to advance 23.5% to 330 billion yen and net income to increase 27.4% to 12.50 billion yen.
Mitsubishi Materials Corporation
slipped 1.2% to 410 yen after the construction materials maker reported net sales in the first-half ending in September declined 5.5% from a year ago to 709.56 billion yen.
Net income in the period nearly doubled to 45.77 billion yen compared to 23.24 billion yen and earnings per share jumped to 34.93 yen from 17.73 yen.
The construction materials maker estimated net sales for the year to drop 2.5% to 1.48 trillion yen and net income to plunge 15.8% to 65 billion yen.
dropped 2.6% to 2,977 yen after the flexible circuit boards maker said net sales in the first-half ending in September soared 22.2% from a year ago to 383.59 billion yen.
Net income in the period jumped 25.9% to 23.57 billion yen compared to 18.73 billion yen and earnings per share increased to 136.27 yen from 108.47 yen.