Japan's Nikkei ends higher on robust Chinese output data-Xinhua

Japan's Nikkei ends higher on robust Chinese output data

Source: Xinhua| 2023-03-01 18:06:30|Editor: huaxia

TOKYO, March 1 (Xinhua) -- Japan's benchmark Nikkei stock index closed higher Wednesday as robust Chinese manufacturing data bolstered investor sentiment with machinery-linked issues here outperforming.

The 225-issue Nikkei Stock Average gained 70.97 points, or 0.26 percent, from Tuesday to close the day at 27,516.53.

The broader Topix index, meanwhile, added 4.53 points, or 0.23 percent, to finish at 1,997.81.

Local brokers said the market mood was buoyed by China's manufacturing purchasing managers' index Wednesday showing that the world's second-largest economy's manufacturing activity in February grew at the fastest pace in a decade.

According to China's National Bureau of Statistics, the manufacturing purchasing managers' index soared to 52.6 in February, compared to median economists' forecasts for the index to reach 50.5, market analysts here highlighted.

"The figure came out stronger than expected, and this shows the resilience of the Chinese economy that impacted the Japanese market," Koichi Fujishiro, a senior economist at Dai-ichi Life Research Institute, was quoted as saying.

As the data and expectations for manufacturing activity to continue to expand in China, domestic machinery-oriented issues were snapped up.

These included construction machinery manufacturer Komatsu rising 2.9 percent and Hitachi Construction Machinery leaping 4.4 percent.

Nikkei heavyweight Fanuc and fellow industrial robot maker Yaskawa Electric both found favor on the data, advancing 2.1 and 4.3 percent, respectively.

Semiconductor issues were also in demand, with chip-testing equipment maker Advantest closing up 2.3 percent, while chip-manufacturing equipment maker Tokyo Electron ended 1.8 percent higher.

But heavily-weighted component Fast Retailing, operator of the Uniqlo clothing store chain, weighed on the market, retreating 1.1 percent.

Drugmakers were also sold, with Chugai Pharmaceutical down 2.1 percent and Daiichi Sankyo slipping 1.5 percent.

Shipping firms also came under pressure, with Nippon Yusen dropping 1.7 percent, while Mitsui O.S.K. Lines lost 1.5 percent.

By the close of play, machinery, nonferrous metal and iron and steel-linked issues comprised those that gained the most.

The turnover on the third trading day of the week came to 2,788.33 billion yen (20.54 billion U.S. dollars).

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