Tokyo, Oct. 5 (Jiji Press)–Japan’s benchmark Nikkei 225 stock average briefly surpassed 70,000 during trading hours Monday for the first time since July 6. The index of 225 major issues listed on the Tokyo Stock Exchange’s Prime section closed just shy of the level at 69,946.86, up 1,637.40 points, or 2.40 pct, from Friday. Buying focused mainly on semiconductor-related and other high-tech issues, following rosy performances of their U.S. peers Friday as expectations for an additional interest rate hike by the U.S. Federal Reserve at its policy meeting this month receded further reflecting lackluster employment data for September. Chip testing equipment maker Advantest, the biggest Nikkei average component, rose 4.32 pct, while chipmaking gear maker Tokyo Electron jumped 5.50 pct. “Investors are once again beginning to put money into AI-related stocks that are expected to deliver earnings growth strong enough to withstand rising interest rates,” an official at a Japanese securities company said. But buying momentum weakened due to profit-taking after the index breached the 70,000 mark. “Upward pressure on interest rates remains, as crude oil prices have risen amid growing turmoil in the Middle East, and fiscal policy concerns in Japan and the United States remain unresolved,” an official at a major brokerage house said. END [Copyright The Jiji Press, Ltd.]
