Japanese Market Notably Higher

Japanese Market Notably Higher

The FINANCIAL -- The Japanese stock market is notably higher on October 6, with the overnight gains on Wall Street and European markets as well as the Trans Pacific Partnership trade deal boosting investor sentiment, according to Nasdaq.

In late-morning trades, the benchmark Nikkei 225 Index is adding 267.94 points or 1.49 percent to 18,273.43, off a high of 18,372.72 earlier. Agricultural and fishery, iron and steel, and machinery stocks are among the leading gainers.

Among the major exporters, Sony (SNE) and Toshiba are adding more than 1 percent each, while Panasonic and Canon are gaining more than 2 percent each.

Market heavyweight Fast Retailing is adding 1 percent and SoftBank is gaining more than 3 percent. Nippon Steel & Sumitomo Metal, Nisshin Steel and Kobe Steel are rising more than 4 percent each.

In the banking space, Mitsubishi UFJ Financial (MTU) is advancing almost 2 percent, while Mizuho Financial Group (MFG) and Sumitomo Mitsui Financial are adding more than 1 percent each.

Among automakers, Toyota (TM) is advancing 0.6 percent and Honda is rising more than 2 percent.

In the oil space, Inpex is gaining almost 2 percent and JX Holdings is up more than 3 percent following higher crude oil prices overnight.

Among the other major gainers, Sumitomo Heavy Industries is gaining almost 6 percent, Hitachi Construction is rising almost 5 percent and Fukuoka Financial as well as Kubota Corp. are up more than 4 percent each. Kubota plans to expand its farming machinery business in Asia.

In the currency market, the U.S. dollar traded in the mid 120-yen range on October 6, up from the lower 120 yen range on Monday in Tokyo.

On Wall Street, stocks rallied on October 5 amid renewed hopes the Federal Reserve will delay raising interest rates in light of some poor economic data. The Institute for Supply Management's nonmanufacturing index, a measure of the service sector, came in lower than expected.

The S&P 500 closed 35.69 points, or 1.8 percent higher at 1,987.05, its fifth straight advance. The Dow Jones Industrial Average jumped 304.06 points, or 1.9 percent, to 16,776.43 and the Nasdaq Composite advanced 73.49 points, or 1.6 percent, to 4,781.26.

The major European markets also rallied sharply on October 5. While the U.K.'s FTSE 100 Index soared by 2.7 percent, the French CAC 40 Index and the German DAX Index shot up by 3.3 percent and 3.5 percent, respectively.

Crude oil prices rallied on October 5 amid further speculation the Federal Reserve will delay raising interest rates until next year. Crude oil futures for November delivery, the most actively traded contract, ended the day up $0.72 at $46.26 a barrel on the New York Mercantile Exchange.