TOKYO, April 11 Japan's Nikkei share average may
rise to its highest level since July 2008 on Thursday as the
central bank's stimulus measures bolster reflationary stocks
like property developers and banks.
Analysts said a rise in U.S. stocks to record highs was also
expected to underpin Japanese equities.
The Nikkei is likely to trade between 13,300 and 13,600 on
Thursday, market participants said, after rising 0.7 percent to
13,288.13 the day before, marking its highest close since August
2008. If the index trades above the 13,500 level, it will be the
first time since July 2008.
Nikkei futures in Chicago closed at 13,515, up 1.7
percent from the close in Osaka of 13,290.
Analysts said that reflationary stocks like financials and
asset-related shares would likely outperform, and that exporters
may also attract buying on hopes that a weakening yen will lift
"The current theme in the market is 'beating deflation', not
the weak yen, so although a weak yen should lift exporters to
some extent, asset-related stocks and financial stocks are more
attractive to foreigners," said Kenichi Hirano, a strategist at
He added that lingering worries about the euro zone's debt
problems and growth in emerging markets may cap investor
appetite for exporter shares.
The yen last traded at 99.77 yen to the dollar.
Investors will also be monitoring data on Japanese machinery
orders for February, due out just before the market open.
> Dow, S&P close at record highs as Wall Street rallies
> Dollar hits 4-year high vs yen, close to 100-yen mark
> Gold drops 1.5 pct on Fed stimulus fears, Cyprus
> Oil ends mixed on strong equities, rise in oil stocks
STOCKS TO WATCH
- Nissan Motor Co
Nissan plans to move production of a mid-sized van from
Spain to Renault's Sandouville plant in France,
sources said, helping its French alliance partner keep a pledge
to raise domestic output in return for union concessions.
- Mitsubishi Motors Corp
Mitsubishi Motors will extend its production and shipment
stoppage of its Outlander plug-in hybrids until it finds the
cause of an overheating lithium-ion battery in one of the
vehicles, the automaker said on Wednesday.
- Toyota Motor Corp
Toyota said on Wednesday its Corolla was the world's top
selling car of 2012, contradicting rival Ford which
claimed top spot for its Focus model.