Japan Nikkei climbs on trading firms, exporters
(Updates to midmorning)
TOKYO, June 13 (Reuters) - Japan's Nikkei stock average rose 0.6 percent on Friday, boosted by trading houses such as Mitsubishi Corp (8058.T) on strong oil prices and as exporters climbed on a buoyant dollar after better than expected U.S retail sales data. Property firms extended losses, as did shipping firms such as Kawasaki Kisen (9107.T).
U.S. stocks rose on Thursday after a stronger-than-expected May retail sales report [ID:nN12284073] and a $46 billion takeover bid for Anheuser-Busch from an overseas rival [ID:nN12330983] helped the market recover from a string of deep losses.
"There is definitely a sense of reassurance about the health of the U.S. economy after the sales report," said Yumi Nishimura, manager of the investment advisory division at Daiwa Securities SMBC.
"Certainly oil still remains high so there's worry about that, but there's also no real chance of any steep falls in the market, and unless the overall situation changes a lot the Tokyo market is likely to stay fairly solid."
Some short-covering had emerged ahead of the settlement of Nikkei futures and options contracts expiring in June. Tokyo market participants said they had likely settled at 14,053.03. [ID:nTKV003123]
At 0047 GMT the benchmark Nikkei .N225 had gained 75.73 points to 13,964.12, recovering from a two-week closing low hit on Thursday.
The broader Topix was up 0.2 percent at 1,365.47.
Exporters gained on both a stronger dollar, which had climbed to around 107.87 yen JPY=, and reassurance about the U.S. economy.
Honda Motor Co Ltd (7267.T) gained 2.4 percent to 3,810 yen and Toyota Motor Corp (7203.T) rose 1.3 percent to 5,470 yen.
Additional boosts came from trading houses, with Mitsubishi Corp up 2.6 percent at 3,500 yen and peer Mitsui & Co (8031.T) up 2.3 percent at 2,420 yen.
But shipping firms extended losses as a major sea freight rate index fell sharply.
Mitsui OSK Lines Ltd (9104.T) shed 1.8 percent to 1,413 yen, Kawasaki Kisen declined 3.2 percent to 1,001 yen and Nippon Yusen KK (9101.T) skidded 1.7 percent to 963 yen.
The Baltic Exchange's dry freight index .BADI, which gauges the strength of seaborne trade for dry commodities such as coal, iron ore and grains, fell 8.7 percent, down for a fifth straight session. (Reporting by Elaine Lies; Editing by Brent Kininmont)
