Nikkei set to edge down on profit-taking as yen steadies

Tue Feb 12, 2013 11:35pm GMT

TOKYO, Feb 13 (Reuters) - Japan's Nikkei share average is
set to edge lower on Wednesday after a pause in the yen's
downtrend, likely triggering profit-taking on stocks that have
gained sharply such as financials and exporters.
    Market players said the Nikkei was set to trade between
11,300 to 11,400 on Wednesday, after rising 1.9 percent to
11,369.12 on Tuesday. The index, which is within reach of a
33-month high of 11,498.42 struck last Wednesday, has gained 31
percent since mid-November.
    Nikkei futures in Chicago closed at 11,380, up
0.088 percent from the close in Osaka of 11,370.
    Market analysts said the underlying mood remained positive
after a U.S. Treasury official on Monday voiced support for
Japan's aggressive policies to combat deflation and bolster
growth. But the market may be prone to short-term volatility
until the weekend, when Group of 20 finance chiefs are scheduled
to meet in Moscow to discuss monetary policy.
    "The Japanese market will likely stay sensitive to
officials' comments until the G20 meeting this weekend. Any
comments on a foreign exchange level could move the market,"
said Takuya Takahashi, an analyst at Daiwa Securities.
    Investors will also focus on individual stocks based on
their earnings, such as Gree Inc., which disappointed
the market with poor earnings and cut its profit outlook.
    The yen plunged late on Monday after U.S. Treasury
Undersecretary Lael Brainard said the United States supports
Japan's effort to end deflation and stimulate growth. She later
clarified that Japan needed to honor its G7 commitment on
market-determined exchange rates.
    The yen rebounded on Tuesday after an official from the
Group of Seven said there were concerns about excessive
movements in Japan's currency.
    The dollar last traded at 93.27 yen, down from a near
33-month high of 94.41 yen, while the euro shed more than one
yen to as far as 125.00.
 
 
> Wall Street ends slightly higher, Dow near a record 
> Yen rallies as G7 official says concerned about weak
currency 
> Prices dip before retail data; G7 remarks spark short
covers 
> Gold rebounds; palladium at 17-month high 
> Oil rises on new forecasts for demand growth 
    STOCKS TO WATCH
    
    --Gree Inc 
    Social game site operator Gree said Tuesday its group net
profit in the July to December period fell 18.3 percent from a
year earlier to 18.12 billion yen and cut its full-year outlook
due mainly to a delay in the release of some game titles.
     Gree now expects to post an operating profit of 50 billion
to 60 billion yen for the full year through June, down from 74
billion to 84 billion yen forecast earlier. 
    
    --Amada Co 
    Major sheet metal processor Amada said Tuesday that it will
make a tender offer for Miyachi Corp with the goal of
turning the welder manufacturer into a wholly owned subsidiary.
     Amada, which seeks to buy all of Miyachi's outstanding
shares by mid-June, will likely spend as much as 10 billion yen
on the purchase.
    The tender offer runs from Wednesday to March 21, and Amada
is offering 870 yen per share.
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