Japanese Market Modestly Higher

(RTTNews) - The Japanese stock market is trading modestly higher on Monday, adding to the gains in the previous session. The benchmark S&P/ASX 200 is moving to a tad shy of the 38,800 level, following the broadly positive cues from Wall Street on Friday, with gains across most sectors lead by index heavyweights and technology stocks.

The benchmark Nikkei 225 Index is up 152.10 or 0.39 percent at 38,799.85, after hitting a low of 38,778.51 earlier. Japanese shares ended notably higher on Friday.

Market heavyweight SoftBank Group is gaining almost 1 percent and Uniqlo operator Fast Retailing is also adding almost 1 percent. Among automakers, Honda is gaining almost 2 percent, while Toyota is adding more than 1 percent.

In the tech space, Screen Holdings is gaining almost 1 percent, Advantest is advancing more than 3 percent and Tokyo Electron is adding more than 1 percent.

In the banking sector, Sumitomo Mitsui Financial is edging up 0.5 percent, while Mitsubishi UFJ Financial and Mizuho Financial are gaining more than 1 percent each.

The major exporters are mostly higher. Canon and Mitsubishi Electric are gaining almost 1 percent each, while Panasonic is adding more than 2 percent. Sony is losing 1.5 percent.

Among other major gainers, IHI and Kawasaki Heavy Industries are gaining almost 5 percent each, while Yaskawa Electric and Tokyo Electric Power are adding almost 4 percent each. Credit Saison, Murata Manufacturing, TDK and Daiwa Securities are gaining more than 3 percent each, while Takashimaya, Sumco, Mitsubishi Chemical Group and NEC are advancing almost 3 percent each.

Conversely, Sumitomo Pharma is plunging almost 7 percent and Chugai Pharmaceutical is sliding almost 5 percent, while Toto and ZOZO are slipping more than 3 percent each. Nitori Holdings and Sapporo Holdings are losing almost 3 percent each.

In economic news, the manufacturing sector in Japan continued to contract in August, albeit at a slower rate, the latest survey from Jibun Bank revealed on Monday with a manufacturing PMI score of 49.8. That's up from 49.1 in July, although it remains beneath the boom-or-bust line of 50 that separates expansion from contraction.

In the currency market, the U.S. dollar is trading in the lower 146 yen-range on Monday.

On Wall Street, stocks fluctuated over the course of the trading session on Friday before eventually ending day sharply higher. The Dow closed higher for the fifth time in the past six sessions, reaching a new record closing high.

The major averages reached new highs for the session going into the close of trading. The Nasdaq surged 197.19 points or 1.1 percent to 17,713.62, the S&P 500 jumped 56.44 points or 1.0 percent to 5,648.40 and the Dow climbed 228.03 points or 0.6 percent to 41,563.08.

Meanwhile, the major European markets ended the day slightly lower. While the French CAC 40 Index edged down by 0.1 percent, the U.K.'s FTSE 100 Index and the German DAX Index both closed just below the unchanged line.

Crude oil prices showed a significant move to the downside on Friday on reports that OPEC is set to proceed with a planned oil output hike from October. West Texas Intermediate crude for October delivery plunged $2.36 or 3.1 percent to $73.55 a barrel.