Nikkei rises to more than two-week high

Published: November 28, 2018 11:54:26 | Updated: November 29, 2018 13:50:46

File Photo (Collected)

Japan’s Nikkei rose on Wednesday to more than a two-week high, with Line Corp extending gains on its partnership deal with Mizuho Bank and Tencent and shippers rallying on higher freight charges.

Investors also held out hope of a possible de-escalation of the US-China trade dispute.

The Nikkei share average climbed 0.9 per cent to 22,148.26 at the midday break after touching 22,176.98, the highest level since Nov. 12, reports Reuters.

Still, the market remained cautious in the wake of Trump’s comments this week to the Wall Street Journal that it was “highly unlikely” he would accept China’s request to hold off on a planned increase in tariffs to 25 per cent from 10 per cent.

There was no such reservations on chat app operator Line Corp, which surged as much as 5.3 per cent to build on its 13 per cent rally from Tuesday on news that it will set up a bank with Mizuho Financial Group Inc and also partner China’s Tencent Holdings Ltd to offer mobile payment services.

Dainippon Sumitomo Pharma jumped 16 per cent to a level not seen since 1990 and was the biggest gainer on the board, after the drugmaker said all the disputes underlying its patent infringement lawsuit for its depression drug Latuda have been resolved.

Elsewhere, shippers outperformed after the baltic dry index, or freight charges, jumped 10 per cent overnight. Mitsui OSK Lines gained 1.3 per cent, Kawasaki Kisen Kaisha surged 1.9 per cent and Nippon Yusen soared 2.5 per cent.

The broader Topix added 0.3 per cent to 1,648.35.

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