Japanese Market Sharply Higher

(RTTNews) - The Japanese stock market is sharply higher on Tuesday, extending the gains in the previous session, with the Nikkei 225 surging more than 600 points to above the 26,800 level, following the broadly positive cues from global markets overnight, with major gains across most sectors as the market rebounded after the recent sharp sell-off amid a spike in commodity prices and a fall in bond yields. Traders also indulged in some bargain hunting.

The benchmark Nikkei 225 Index is up 633.80 points or 2.42 percent at 26,849.59, after touching a high of 26,935.95 earlier. Japanese shares ended significantly higher on Monday.

Market heavyweight SoftBank Group is gaining almost 4 percent and Uniqlo operator Fast Retailing is adding more than 2 percent. Among automakers, Honda is adding almost 2 percent and Toyota is gaining almost 3 percent.

In the tech space, Advantest and Screen Holdings are gaining more than 2 percent each, while Tokyo Electron is adding almost 3 percent. In the banking sector, Mitsubishi UFJ Financial and Sumitomo Mitsui Financial are advancing almost 3 percent each, while Mizuho Financial is gaining more than 2 percent.

The major exporters are mostly higher, with Sony gaining more than 3 percent and Panasonic up more than 2 percent, while Canon and Mitsubishi Electric are adding almost 3 percent each. Among the other major gainers, Nippon Sheet Glass is soaring almost 8 percent, Marubeni is surging almost 7 percent and Itochu is advancing more than 6 percent, while Sumitomo and JFE Holdings are gaining more than 5 percent each. Mitsubishi, Seven & I Holdings and Orix are adding almost 5 percent each, while NEXON, Mitsui & Co., Subaru, Mitsubishi Heavy Industries, Tokyo Electric Power, Toyota Tsusho and up more than 4 percent each.

Conversely, there are no major losers.

In economic news, overall consumer prices in the Tokyo region of Japan were up 2.8 percent on year in September, the Ministry of Communications and Internal Affairs said on Tuesday. That was in line with expectations and down from 2.9 percent in August. Core consumer prices accelerated 2.9 percent on year, exceeding expectations for an increase of 2.8 percent and up from 2.6 percent in the previous month.

In the currency market, the U.S. dollar is trading in the higher 144 yen-range on Tuesday.

On Wall Street, stocks kept moving higher and higher on Monday after opening with a positive gap as buying gathered momentum and finally ended the session on a buoyant note. The surge was due largely to hectic bargain hunting after recent sharp losses.

The major averages all ended sharply higher. The Dow surged 765.38 points or 2.66 percent to settle at 29,490.89, recording its best single session gain in over seven months. The S&P 500 climbed 92.81 points or 2.59 percent to 3,678.43, while the Nasdaq advanced 239.82 points or 2.27 percent to 10,815.43.

The major European markets also closed higher as stocks saw some strong buying in the final hour. The pan European Stoxx 600 climbed 0.77 percent. The U.K.'s FTSE 100 gained 0.22 percent, Germany's DAX surged 0.79 percent and France's CAC 40 gained 0.55 percent.

Crude oil prices rose sharply on Monday amid speculation that OPEC will discuss cutting crude output at their upcoming meeting on Wednesday. West Texas Intermediate Crude oil futures for November ended higher by $4.14 or 5.2 percent at $83.63 a barrel.