4:30 PM Tokyo – Nikkei average in Tokyo rebounded after China lowered its one-year lending and deposit rate by 25 basis points over the weekend. Toshiba plunged 17% after the conglomerate expanded its accounting investigation. Suzuki Motor estimate fiscal year net to rise 14%. Sega Sammy swung to annual loss.
Stocks in Tokyo advanced after China lowered its reference rate over the weekend and on strong U.S. jobs data. However, Sharp and Toshiba plunged.
Market sentiment at the opening was strong and stocks advanced after China lowered its lending and deposit one-year rate by 25 basis point, third rate cut in six months by the People’s Bank of China.
On Friday, U.S. said jobless rate eased to 5.4% in April from 5.5% in March and net jobs additions picked up.
The Nikkei 225 Stock Average climbed 241.72 or 1.3% to 19,620.91 and the broader Topix index gained 10.57 to 1,598.33.
The yen closed at 119.97 against a dollar.
Toshiba plunged more than 15% to a one-year low after the conglomerate withdrew its earnings estimate and canceled a dividend payment and said it has increased the scope of its accounting procedures investigation.
Sharp collapsed 31% to a 3-year low after the company said it is looking to raise capital including a preferred stock offering after a Nikkei report said that the electronics maker is looking to wipe out its capital by 99% to 100 million yen.
Stocks in Review
Asahi Holdings Inc
gained 1.6% to 2,309 yen after the precious metals recycler said net sales in the year ending in March surged 18.2% to 111.42 billion yen from 94.25 billion yen in a year ago period.
Net income in the year dropped 3.3% to 5.77 billion yen compared to 9.99 billion yen and diluted earnings per share slumped to 176.89 yen from 183.50 yen in the same period a year ago.
The company forecasted net sales in the first-half ending in September to climb 22% to 63 billion and net income to increase 3.1% to 3 billion yen.
Asahi forecasted net sales for the year ending in March 2016 to soar 15.8% to 129 billion yen and net income to jump 12.6% to 6.50 billion yen.
climbed 3.2% to 2,643 yen after the trading company reported revenues in the year ending in March edged up 0.4% to 7.67 trillion yen from 7.63 trillion yen in a year ago period.
Net income in the year soared 10.9% to 400.57 billion yen compared to 361.36 billion yen and diluted earnings per shared jumped to 245.83 yen from 218.80 yen in the same period a year ago.
The company forecasted net income for the year ending in March 2016 to decline to 360 billion yen and earnings per share of about 227.67 yen.
Minebea Co Ltd
surged 8.2% to 1,984 yen after the electronic devices maker said net sales in the year ending in March climbed 34.8% to 500.68 billion yen from 371.54 billion yen in a year ago period.
Net income in the year soared 91% to 39.89 billion yen compared to 20.88 billion yen and diluted earnings per share jumped to 101.32 yen from 53.14 yen in the same period a year ago.
Minebea forecasted net sales in the first-half ending in September to advance 36% to 294.50 billion and net income to climb 13.4% to 20.20 billion yen.
The electronic devices maker forecasted net sales for the year ending in March 2016 to jump 29.8% to 650 billion yen and net income to soar 20.3% to 48 billion yen.
Suzuki Motor Corp
fell 0.9% to 3,827.50 after the automaker reported revenues in the year ending in March increased 2.6% to 3.01 trillion yen from 2.94 trillion yen in a year ago period.