TOKYO (dpa-AFX) - The Japanese stock market is trading firm on Thursday with investors going in for some bargain hunting after the previous session's setback. The overnight positive close on Wall Street and a pause in the dollar's fall are also contributing to the upmove.
The benchmark Nikkei 225 index, which rose to 13,462.3, is currently trading at 13,425.6, up 87.1 points or 0.7 percent from its previous close.
Inpex Corp. shares are up nearly 5 percent following crude oil prices jumping to a 2-year high. Isuzu Motors, Hino Motors, Suzuki Motor, Tokuyama Corp., Minebea, Showa Shell Sekiyu, Taiheiyo Cement, Furukawa Electric and Advantest Corp. (ATE) are trading higher by 3 to 4 percent.
Nisshin Steel Holdings, J Front Retailing, Mitsumi Electric, Citizen Holdings, Fast Retailing, GS Yuasa, Mitsubishi Motors, JX Holdings and Fuji Heavy Industries are all trading higher by over 2 percent.
Among the notable losers, Kansai Electric Power is down nearly 5 percent. Tokyo Electric Power and Chubu Electric Power are trading lower by 3.7 percent and 3.2 percent, respectively.
Panasonic Corp. (PC), Kajima Corp., Obayashi Corp., Tokai Carbon, Sharp Corp., Pioneer Corp., Resona Holdings and Olympus Corp. are down 1 to 2 percent.
In economic news, the total value of retail sales in Japan was down 0.3 percent on year in July, at 11.743 trillion yen, the Ministry of Economy, Trade and Industry said on Thursday. That missed forecasts for an increase of 0.1 percent following the 1.6 percent increase in June.
Sales from large-scale retailers dropped 1.6 percent on year to 1.712 trillion yen - versus expectations for a contraction of 0.5 percent following the 3.5 percent jump in the previous month. On month, retail sales dropped a seasonally adjusted 1.8 percent versus forecasts for a 1.0 percent decline following the 0.2 percent fall in June.
The data also showed that commercial sales added 1.3 percent on year to 39.015 trillion yen, and wholesale sales jumped an annual 2.1 percent to 27.272 trillion yen.
In the currency market, the U.S. dollar traded in the upper 97 yen range in early deals in Tokyo. The yen is currently trading at 97.89 to the U.S. dollar.
Among other markets in the Asia-Pacific region, Shanghai, Hong Kong, Malaysia, Singapore and Taiwan are trading notably higher. New Zealand is up marginally, while Australia is trading slightly lower.
On Wall Street, stocks edged higher on Wednesday, with investors indulging in some bargain hunting despite lingering concerns about developments regarding Syria. Data showing a bigger than expected drop in pending home sales in July, raising hopes the U.S. Federal Reserve will delay plans to scale back monetary stimulus.
The major averages gave back some ground going into the close but still ended the day in positive territory. The Dow rose 48.4 points or 0.3 percent to 14,824.5, the Nasdaq climbed 14.8 points or 0.4 percent to 3,593.3 and the S&P 500 advanced 4.5 points or 0.3 percent to 1,635.
Major European markets moved to the downside on Wednesday. While the German DAX index ended down 1 percent, the French CAC 40 index and the U.K.'s FTSE 100 index both edged down by 0.2 percent.
U.S. crude oil surged to end above the $110-mark on Wednesday, after having topped the $112-mark in intraday trading. Oil prices continued to be heavily influenced by the tense situation in Syria with the U.S. and its allies mulling over possibilities of military intervention, which could spark-off tensions throughout the Middle East and disrupt oil supplies from the region.
Crude for October delivery jumped $1.09 or 1 percent to close at $110.10 a barrel on the New York Mercantile Exchange.
Copyright RTT News/dpa-AFX