Nikkei set to rise on upbeat US data; Syria concerns abate

Thu Aug 29, 2013 7:38pm EDT

TOKYO, Aug 30 (Reuters) - Japan's Nikkei share average is
set to rise for a second day on Friday as upbeat U.S. data
propped up Wall Street overnight, while geopolitical tensions
are likely to ease as doubts emerge over an imminent U.S.-led
military strike on Syria.
    Market players said the Nikkei was likely to trade between
13,450 and 13,650 after rising 0.9 percent to 13,459.71 on
Thursday.
    Nikkei futures in Chicago closed at 13,525, up 0.5
percent from the close in Osaka of 13,460.
    On Thursday, a U.S. government report showed the nation's
economy accelerated more quickly than expected in the second
quarter because of a surge in exports, bolstering the case for
the Federal Reserve to wind down its massive stimulus program.
    Analysts said investors may chase the market higher in early
trade, although profit-taking is possible by the closing bell
ahead of a holiday weekend in the United States.
    "The index may rise above 13,500 in early trade as people
are upbeat about the recovering U.S. economy, but at the same
time, investors continue to monitor emerging market moves
later," said Yutaka Miura, a senior technical analyst at Mizuho
Securities. 
    "Also, fears about Syria may have abated, but uncertainty
over possible military action against Syria in the mid-term will
likely keep trading thin."
    U.S. officials conceded on Thursday they lacked conclusive
evidence that Syrian President Bashar al-Assad personally
ordered last week's poison gas attack, and some allies have
warned that military action without U.N. Security Council
authorization risks making the situation worse. 
    
    
> Wall St rises on economy, but Syria concerns limit gains 
> Dollar hits 3-week high as U.S. data spurs Fed taper talk 
 
> Prices gain as investors eye month-end, long weekend 
> Gold falls after 5-day rise as Syria attack fears ease 
> Oil slides as Syria action timeline pushed back 
    STOCKS TO WATCH
    
    --Mitsubishi Motors Corp 
    Mitsubishi Motors said Thursday that it will cease
production of commercial minivehicles in fiscal 2013 and focus
resources on passenger minicars and electric vehicles.
    
    --Denso Corp 
    Denso is considering investing in Sharp Corp as a
way to strengthen its partnership with the electronics firm, the
Nikkei said, citing an interview with the president of the
autoparts maker, Nobuaki Katoh.