Tokyo Shares Gain on Easing Ukraine Tensions
Tokyo shares rose more than 2 percent on the Nikkei index on Wednesday; Concerns eased over Russia’s possible invasion of Ukraine. The Nikkei Stock Average closed 225 points at 595.21 points, at 27,460.4, or 2.22 percent. The broader Topix Index of First Section Emissions on the Tokyo Stock Exchange ended 1.67 percent at 31.93 points, finally reaching 1,946.63. In addition, all industry categories gained a place and mining, oil, and coal products issues. Significant gains included rubber products, sea, and air transport issues. Also, Market participants gained a wide range of stocks from the very beginning during the last two trading sessions. This resulted after a nearly 3 percent loss to the Nikkei.
Moscow said it is withdrawing some troops. The issue of Ukraine is not been resolved. However, Russia’s announcement boosted investor sentiment. Although the revenue of the Japanese company, which was recently published, was primarily positive, concerns about Ukraine and rising inflation in the U.S. made it harder for market participants to buy stocks. However, it is expected that investors will continue to focus on the situation in the Eastern European country. However, there is some mitigation, as its perspective is uncertain. Tuesday, the U.S. president said that his government had not verified reports of Russian troops withdrawing near Ukraine.
Japan can ease its border control policies, which have been criticized as too strict. Hence, air transport issues increased. ANA Holdings rose 3.6 percent; Japan Airlines experienced a 3 percent increase. Japan is considering easing its limit on the number of daily new entrants from abroad. It should increase to 5,000 next month from the current 3,500. In the first section, users exceeded the declines from 1,792 to 320; And 70 remained unchanged.
Denso rose 2.6 percent, after the auto parts maker announced on Tuesday that it would invest $350 million in a chip-making joint venture; Created by Taiwan Semiconductor Manufacturing and Sony Semiconductor Solutions Corp. The Optimal Income Report became public on Tuesday. Hence, Bridgestone increased by 7.4 percent. The volume of trading on the main section fell to 1,155.78 million shares.
European stocks rose on Wednesday. After the U.S. President noted that there was still room for diplomacy to resolve the crisis in Ukraine. The Stoxx 600 index added 0.2 percent; It closed 1.4 percent higher than in the previous session. The FTSE 100 traded unchanged. Dax added 0.4 percent. The blue-chip CAC 40 stock index rose 0.4 percent. The move comes after the Russian president eased tensions and said Moscow was deploying Russian troops from border areas to dialogue with the West. Joe Biden later told a White House briefing that diplomacy should be given every chance to succeed. Joe noted that Russia had deployed about 150,000 troops along the Ukrainian border.
U.S. and European stocks increased on Tuesday; Oil prices have fallen. The next meeting of the U.S. Federal Reserve Federal Open Market Committee is scheduled for mid-March. Economists expect interest rates to rise to overcome inflation, which grew at its fastest annual pace since January 1982. In government debt markets, interest rates on U.S. Treasury bonds were generally stable at 2.05 percent, it has been close to its highest level for more than the last two years. The yield on the Bund increased to 0.33 percent.
The yield on bonds fluctuates their prices in reverse. In fact, government bonds are assets of shelter in times of geopolitical uncertainty. Data showed on Thursday that inflation had accelerated to its fastest pace in three decades in the U.K. Consumer prices rose 5.5 percent year-on-year last month. The 10-year U.K. Gilt yield increased to 1.59 percent. Hang Seng gauge trade increased by 1.5 percent. Wall Street S&P 500 Index futures contracts rose 0.3 percent. The Nasdaq Composite was up 0.2 percent. The benchmark price for Brent crude oil increased to $94.45 a barrel, or 1.3 percent.