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Tokyo: Stocks end higher on weak yen, bargain-hunting
[TOKYO] Tokyo stocks ended the day in positive territory Tuesday as late bargain-hunting and a dip in the yen erased early losses, brushing aside selling pressure that followed a retreat on Wall Street.
The benchmark Nikkei 225 index at the Tokyo Stock Exchange gained 0.15 per cent, or 28.52 points, to 19,671.26, but the broader Topix index of all first-section issues eased 0.09 per cent, or 1.49 points, to 1,589.48.
Japanese shares, which jumped two per cent on Monday, opened lower after Wall Street's three main indexes gave up about one percent Monday, hit by poor Chinese trade data at the weekend and a fall in crude oil prices.
But market participants bought on dips in afternoon trading as the dollar edged back up against the yen, helping exporters.
Japan also said on Tuesday its current account surplus more than quadrupled in the six months to September thanks to an improving trade picture.
"Today's gain showed the strength of the Japanese stock market," said Hikaru Sato, senior technical analyst at the investment strategy section at Daiwa Securities.
"Players forecast that there is room for further gains in Japanese stocks as bargain-hunting is sustaining the market's downside," Mr Sato told AFP.
"A short-term target of 20,000 ... in the Nikkei index has now come within sight," he said, adding that the market is looking to the release next week of July-September economic growth figures.