4:30 PM Tokyo – Stocks in Tokyo gained the in the final hour of trading and the yen fell. Murata Manufacturing is expected to revise its takeover offer for Tokyo Inc. The yen remained in focus as world investors begin a search for alternative to dollar as political dysfunction in the U.S. drags on.
Stocks in Tokyo and Asia traded mixed in cautious trading as investors search for alternative to dollar denominated assets.
Global investors are increasingly concerned about the ongoing political dysfunction in the U.S. and global strategists are increasingly questioning the reserve currency status of the dollar.
Fitch Ratings, the smallest of three largest global sovereign debt rating agencies, belatedly put the U.S. debt on watch list with a negative bias and said U.S. politicians are waiting for the last minute to decide on government budget and debt ceiling revision endangering the U.S. and global economic growth.
The Nikkei 225 Stock Average gained 25.60 to 14,467.14 and the Topix closed down to 0.69 to 1,196.78.
The yen rose to 98.47 against one dollar.
Stocks in Review
Toyota Motor Corp fell 30 yen to 6,360 yen after the carmaker plans to reduce 100 voluntary jobs at Altona manufacturing plant in Victoria State, Australia as it reduced production from 470 vehicles a day to 431.
Honda Motor Co. slid 15 yen to 3,905 yen. Nissan Motor Co Ltd fell 1 yen to 1,000 yen.
Sony decreased 4 yen to 1,934 yen.
Softbank Corp climbed 160 yen to 7,400 yen the Japan-based wireless carrier and GungHo Online Entertainment, Inc agreed to buy 51% stake in the Finnish online game developer Supercell Oy for about $1.5 billion including “Clash of Clans” and “Hay Day” titles played on mobile phones.
In addition, the company is in talks with U.S.-based mobile phone distributor Brightstar Corporation to purchase a majority stake. However, no decision has been reached on a possible deal, the Nikkei newspaper reported.
Fast Retailing Co. declined 350 yen to 33,850 yen.
Murata Manufacturing Co., Ltd
rose 0.1% to 7,520 yen after the electronic parts maker plans to raise its takeover bid for Toko Inc from 300 yen a share to high as 355 yen after the stock rallied above the initial tender price. Toko is a maker of electronic components and power systems.
Tokyo Broadcasting System Inc
gained 0.8% to 1,302 yen after the Japan-based broadcasting company and state-operated Myanmar Radio and Television inked cooperation for news and programming contents.
The Japanese government supported corporate investments of $500 million loan to Myanmar government for infrastructure and other projects.