| Japan stock market finished sharply higher in post-holiday trading on Tuesday, 07 May 2024, as investors took heart from Wall Street rallies overnight amid bets of U.S. interest rate cuts this year. The Japanese markets were closed on Friday through Monday for public holidays known as Golden Week. The 225-issue Nikkei Stock Average index advanced 599.03 points, or 1.57%, to finish at 38,835.10. The broader Topix index of all First Section issues on the Tokyo Stock Exchange grew 17.69 points, 0.65%, to 2,746.22. Total 23 of 33 TSE sectors closed higher, with Securities & Commodities Futures being best performer in percentage term, followed by Machinery (up 2.3%), Services (up 1.66%), and Electric Appliances (up 1.3%) sectors, while Pharmaceutical was bottom performer in percentage term, falling 1.1%, followed by Warehousing & Harbor Transportation Services (down 1.1%) and Rubber Products (down 0.95%) sectors. Shares of technology companies advanced on tracking gains in US peers after U.S. tech giant Apple posted upbeat revenue results. Chip-making equipment giant Tokyo Electron soared 5.2%, while chip-related firm Disco Corp jumped nearly 9%. SoftBank Group gained 3.7%. Shares of Sony Corp fell by 2.9% on reports that it and Apollo Global Management have made a $26-billion takeover proposal to buy US studio Paramount. ECONOMIC NEWS: Japan Services Sector Accelerates In April- The services sector in Japan continued to expand in April, and at a faster pace, the latest survey from Jibun Bank revealed on Tuesday with a services PMI score of 54.3. That's up from 54.1 in March, and it moves further above the boom-or-bust line of 50 that separates expansion from contraction. Total new work increased at the fastest pace since June 2023. Moreover, the rate of growth has now accelerated for six months in a row. Survey respondents typically noted improving domestic economic conditions and resilient customer demand. Export sales also provided a positive contribution to overall new business growth in April, with the latest increase the strongest for nine months. A number of firms reported a boost to sales from inbound tourism. Service providers added to their payroll numbers for the seventh consecutive month in April, although the rate of job creation was unchanged since March. Anecdotal evidence suggested that a shortage of candidates to fill vacancies had sometimes acted as a constraint on hiring. CURRENCY NEWS: The Japanese yen depreciated against greenback on Tuesday, on hopes for possible Federal Reserve interest rate cuts soon after a weaker US jobs rate. The yen was changing hands at 154.21 per dollar in late trade on Tuesday, from around 153.86 yen overnight in New York and 155.78 on last Thursday. Powered by Capital Market - Live News |