TOKYO, Sept 11 (Reuters) - Japanese shares rose to one-week
highs on Friday, tracking U.S. futures higher, after the capital
city of Tokyo dropped its coronavirus alert by one notch from
the highest level as infections continue to decline.
The benchmark Nikkei share average .N225 rose 0.74% to
23,406.49. For the week, the index has gained 0.87%.
The broader Topix .TOPX gained 0.72% at 1,636.64, with all
but four of the 33 sector sub-indexes on the Tokyo exchange
trading higher. The index posted its third weekly gain.
Both indexes marked their highest levels since Sept. 3.
Tokyo had raised the alert to "red" in July on the advice of
experts following a rise in infections. The city's daily cases
have gradually declined since hitting a peak of 472 cases in
early August, with 276 new cases reported on Thursday.
Markets had initially opened softer, tracking overnight
losses in Wall Street, as heavyweight U.S. tech stocks resumed
their decline following a sharp rebound on Wednesday.
But shares recouped losses tracking strength in U.S. futures
in Asian trade, with e-mini futures for the S&P 500 EScv1
adding 0.79% and Nasdaq futures NQc1 rising about 0.9%.
Shippers were the top performing sector on the main bourse
.ISHIP.T , up 3.16%, with Meiji Shipping Co 9115.T jumping 5%
and Mitsui OSK Lines 9104.T gaining 3.57%.
Market participants said active buying on special quotation
fixing to settle September Nikkei futures and options
contributed to the rebound into positive territory.
The market is also awaiting some events next week, including
Japan's Liberal Democratic Party leadership election and policy
meetings of the Bank of Japan and the U.S. Federal Reserve, said
Masahiro Ichikawa, senior strategist at Sumitomo Mitsui DS Asset
Management.
Tokyo Dome Corp 9681.T slipped 1.08% after it forecast a
net loss of 18 billion yen ($169.56 million) for the year
through Jan. 31, 2021. = 106.1600 yen)