Japan Stocks Rise First Time in 5 Days as Greece Concern Eases
Japanese stocks rose for the first time in five days, after European officials said they may help Greece grapple with its budget deficit, easing concern a sovereign default will cripple the region’s economic recovery.
Canon Inc., which gets 79 percent of its sales from abroad, advanced 1.1 percent after the yen weakened against the euro and dollar. Mitsubishi Corp., a trading company that gets 39 percent of its sales from commodities, climbed 1.5 percent after prices for metals and oil rose. Nissan Motor Co. was set to jump after predicting a profit. Hitachi Construction Machinery Co. climbed 1.5 percent after Japan’s machinery orders increased more than economists’ estimates.
“Investors can’t totally forget about Greece’s deficit problem, but they are less concerned now,” said Hiroichi Nishi, an equities manager at Tokyo-based Nikko Cordial Securities Inc. “Some technical indicators suggest stocks have been oversold.”
Before markets opened, the Cabinet Office reported a 20 percent month-on-month surge in the nation’s machinery orders in December, more than twice as much as economists had estimated. Orders are perceived as an indicator of business investment in the next three to six months.