TOKYO, March 27 — Tokyo stocks surged nearly four per cent today, tracking rallies on Wall Street over a massive US economic relief package to temper the impact of the coronavirus.
The benchmark Nikkei 225 index jumped 3.88 per cent, or 724.83 points, to 19,389.43, ending the week 17.1 per cent higher.
The broader Topix index advanced 4.30 per cent, or 60.17 points, to 1,459.49. It climbed 13.7 per cent over the week.
The Japanese government’s plans to fire additional stimulus to counter the impact from the disease provided further relief to investors, analysts said.
The dollar fetched 108.36 yen in Asian trade, against 109.44 yen in New York on Thursday.
“There were concerns due to the request to refrain from going out in Tokyo, but shares rose, helped by US rallies,” Yoshihiro Ito, chief strategist at Okasan Online Securities, said in a commentary.
Tokyo’s governor on Wednesday urged residents to stay home this weekend, warning of a possible “explosion” of the coronavirus in the capital.
In Tokyo, major shares were higher across the board, with Toyota gaining 4.62 per cent to 7,029 yen and Sony 4.50 per cent up at 6,688 yen.
The PlayStation manufacturer said in a press release after the market close that the effects of the coronavirus “could be large enough to eliminate” the increase in earlier projected profits for the year ending in March.
The company said the impact is expected to continue for the fiscal year from April to March 2021.
It added that delays in account closing procedures and other operations would make it difficult to deliver its earning announcement “as planned”.
Uniqlo casual wear operator Fast Retailing rose 1.43 per cent to 44,430 yen and chip-making equipment manufacturer Tokyo Electron jumped 5.06 per cent to 21,350 yen.
In the US, the Dow surged 6.4 per cent, for a third straight gain, after the economic relief package cleared the Senate, helping offset data showing a record number of new unemployment claims. — AFP
