4:30 PM Tokyo – Nikkei average in Tokyo jumped 1.6% and the yen held firm after a last minute deal between Greece and lenders lifted sentiment for the day. Astellas Pharma said it completed its latest stock buyback plan. Nippon Express sales and earnings in the quarter rose more than expected.
Market indexes in Tokyo jumped more than 1.5% and the yen held firm after the last minute deal between European lenders and Greece.
European lenders agreed to offer $95 billion of loans, in addition to $300 billion offered in the previous bailouts, and demanded an oversight form the International Monetary Fund and required Greece to implement unpopular reforms.
Euro is likely to face more downward pressure in the days to come and Greece is likely to face more hurdles in implementing tough and unpopular tax and pension reforms.
The seasonally adjusted industrial production in May dropped 2.1% from the upwardly revised 2.2% decrease in the preliminary estimate. In April, production increase 1.2%, the Ministry of Economy, Trade and Industry said.
The department added shipments in May decreased 1.9% and inventories fell 0.8% from April.
For the year, industrial production in May declined 3.9% compared to 0.1% increase in April.
The Nikkei 225 Stock Average jumped 309.94 or 1.6% to 20,089.77 and the broader Topix index increased 29.96 to 1,613.51.
The yen closed at 123.06 against a dollar.
Stocks in Review
Astellas Pharma Inc
gained 2% to 1,815 yen after the pharmaceutical maker said it completed its shares buyback program for up to 20 million worth about 35.62 billion yen between May 28 and July 10.
jumped 4.6% to 116,600 yen after the real estate developer agreed to acquire Noda, Chiba-based two assets worth about 4.17 billion yen and 4.65 billion yen respectively from Central Compass Co., Ltd.
Mitsui Mining and Smelting Co Ltd
fell 0.3% to 296 yen after the Nikkei news reported rare earth products producer’s revenues for the first-quarter ending in June increased 4% to 115 billion yen but operating profit may decline 8% to 5 billion yen.
Nippon Express Co Ltd
increased 0.9% to 587 yen after the Nikkei daily said transportation and logistics company’s net sales for the first-quarter ending in June to jump 3% to 467 billion yen and operating profit to gain 1% to 9.3 billion yen.