By Aiko Hayashi
TOKYO, March 10 (Reuters) - Japan's Nikkei average rose 0.2 percent on Wednesday, with exporters gaining after stronger-than expected machinery orders data, but recall-hit Toyota Motor Corp fell after an incident involving a Prius in the United States.
Data released just before the start of trade showed that Japan's core machinery orders fell 3.7 percent in January from the previous month, smaller than a median market forecast for a 4.1 percent fall.
'Investors took heart from the machinery data, which pointed to growth led by overseas demand, while they've become hopeful about China's trade data due later in the day,' said Yumi Nishimura, deputy general manager at Daiwa Securities Capital Markets.
'The incident in America is taken as negative for Toyota as it has yet to completely resolve its recall problems.'
The benchmark Nikkei rose 16.18 points to 10,583.83 by midmorning, after inching down 0.2 percent the previous day.
The broader Topix gained 0.2 percent to 925.88.
Wednesday marks a year since the benchmark Nikkei posted a 26-year closing low of 7,054.98, from which it has now recovered about 50 percent as stimulus measures by governments around the world have helped economies to get on a recovery track. It hit a 26-year intraday low in October 2008 of 6,994.90.
Major U.S. averages ended slightly higher on Tuesday as falling commodity prices pressured materials stocks, offsetting gains in the telecom and industrial sectors.
Toyota shares fell 0.6 percent to 3,475 yen after news that it and U.S. safety regulators sent investigators to San Diego on Tuesday to inspect a Prius hybrid that sped out of control on a California freeway a day earlier.
The fall in Toyota's shares also came after the carmaker said it would fix all 2000 to 2003 model Tundra pickups sold in the United States due to a risk that part of the truck's frame could corrode, causing spare tyres or the gasoline tank to fall off.
Other exporters gained, helped by a halt in the yen's advance against the dollar. Investors fret about a stronger yen as it eats into exporters' overseas profits when repatriated. The dollar was steady around 90 yen.
Sony Corp rose 1.1 percent to 3,365 yen and Canon Inc added 0.8 percent to 3,995 yen. Honda Motor Co gained 0.6 percent to 3,260 yen.
(Editing by Michael Watson)
((aiko.hayashi@thomsonreuters.com; Reuters Messaging: aiko.hayashi.reuters.com@reuters.net; +81 3 6441 1802))
((If you have a query or comment on this story send an email to news.feedback.asia@thomsonreuters.com))
Keywords: MARKETS JAPAN STOCKS (Multimedia versions of Reuters Top News are now available for: * 3000 Xtra : visit http://topnews.session.rservices.com * BridgeStation: view story .134 * Reuters Plus: from your WebDSS screen For more information on Top News, visit http://topnews.reuters.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
TOKYO, March 10 (Reuters) - Japan's Nikkei average rose 0.2 percent on Wednesday, with exporters gaining after stronger-than expected machinery orders data, but recall-hit Toyota Motor Corp fell after an incident involving a Prius in the United States.
Data released just before the start of trade showed that Japan's core machinery orders fell 3.7 percent in January from the previous month, smaller than a median market forecast for a 4.1 percent fall.
'Investors took heart from the machinery data, which pointed to growth led by overseas demand, while they've become hopeful about China's trade data due later in the day,' said Yumi Nishimura, deputy general manager at Daiwa Securities Capital Markets.
'The incident in America is taken as negative for Toyota as it has yet to completely resolve its recall problems.'
The benchmark Nikkei rose 16.18 points to 10,583.83 by midmorning, after inching down 0.2 percent the previous day.
The broader Topix gained 0.2 percent to 925.88.
Wednesday marks a year since the benchmark Nikkei posted a 26-year closing low of 7,054.98, from which it has now recovered about 50 percent as stimulus measures by governments around the world have helped economies to get on a recovery track. It hit a 26-year intraday low in October 2008 of 6,994.90.
Major U.S. averages ended slightly higher on Tuesday as falling commodity prices pressured materials stocks, offsetting gains in the telecom and industrial sectors.
Toyota shares fell 0.6 percent to 3,475 yen after news that it and U.S. safety regulators sent investigators to San Diego on Tuesday to inspect a Prius hybrid that sped out of control on a California freeway a day earlier.
The fall in Toyota's shares also came after the carmaker said it would fix all 2000 to 2003 model Tundra pickups sold in the United States due to a risk that part of the truck's frame could corrode, causing spare tyres or the gasoline tank to fall off.
Other exporters gained, helped by a halt in the yen's advance against the dollar. Investors fret about a stronger yen as it eats into exporters' overseas profits when repatriated. The dollar was steady around 90 yen.
Sony Corp rose 1.1 percent to 3,365 yen and Canon Inc added 0.8 percent to 3,995 yen. Honda Motor Co gained 0.6 percent to 3,260 yen.
(Editing by Michael Watson)
((aiko.hayashi@thomsonreuters.com; Reuters Messaging: aiko.hayashi.reuters.com@reuters.net; +81 3 6441 1802))
((If you have a query or comment on this story send an email to news.feedback.asia@thomsonreuters.com))
Keywords: MARKETS JAPAN STOCKS (Multimedia versions of Reuters Top News are now available for: * 3000 Xtra : visit http://topnews.session.rservices.com * BridgeStation: view story .134 * Reuters Plus: from your WebDSS screen For more information on Top News, visit http://topnews.reuters.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
