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Nikkei rises in cautious mood; Z Holdings, Line gain after merger

Published 18/11/2019, 04:38
© Reuters.  Nikkei rises in cautious mood; Z Holdings, Line gain after merger
JP225
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AMAT
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TOPX
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4689
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8035
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6857
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6146
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LFST
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3938
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9434
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TOKYO, Nov 18 (Reuters) - Japan's Nikkei edged higher on

cautious optimism, underpinned by gains on Wall Street and

prospects of a Sino-U.S. trade deal, while Z Holdings and Line

Corp advanced after a formal merger announcement.

The Nikkei share average .N225 rose 0.3% to 23,366.79 by

the midday break on Monday, and the broader Topix .TOPX stood

flat at 1,697.06.

On Friday, Wall Street's main stock indexes closed at record

levels, fuelled by fresh optimism over a potential easing of

U.S.-China trade tensions and by big gains in shares of

healthcare companies. .N

Chinese state media Xinhua said on Sunday that China and the

United States had "constructive talks" on trade in a high-level

phone call on Saturday, without giving details. The benchmark Nikkei was flat in early trade but rose

slightly after Hong Kong stocks opened firmer, later climbing

more than 1%, despite clashes between anti-government protesters

and police on the island, traders said.

Hong Kong police on Monday trapped hundreds of protesters

inside a major university and demonstrators rampaged through a

tourist district, after almost two straight days of standoffs

that have raised fears of a bloody showdown. In Tokyo, Z Holdings 4689.T , formerly known as Yahoo

Japan, and Line Corp 3938.T climbed 1.9% and 1.8%,

respectively, after the two sides formally annouced a merger

plan shortly before the market open to create a $30 billion tech

giant. SoftBank Corp's 9434.T internet unit Z Holdings was the

fifth-most traded stocks on the main board, while the messaging

app firm Line became the seventh-most traded.

Elsewhere, semiconductor-related shares fared well as

Applied Materials AMAT.O soared 8% on Friday after the chip

gear maker forecast first-quarter revenue and profit above Wall

Street estimates. Tokyo-listed Advantest 6857.T jumped 2.9%, Disco Corp

6146.T gained 2.3% and Tokyo Electron 8035.T rose 1.7%.

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