By Stanley White
TOKYO, Dec 23 (Reuters) - Japanese stocks rose slightly on
Monday as the early approval of a cancer drug and an improved
earnings outlook boosted the healthcare sector in thin trade
ahead of the Christmas and New Year holidays.
Shares in the consumer staples sector also rose due to hope
of a pick-up in spending during the year-end shopping season.
The Nikkei index .N225 ended up 0.02% at 23,821.11. It has
risen 19% so far this year.
The healthcare sector extended recent gains after the U.S.
Food and Drug Administration on Friday approved a drug from
Daiichi Sankyo Co Ltd 4568.T and AstraZeneca PLC AZN.L to
treat an advanced form of breast cancer, three months ahead of
schedule. AstraZeneca in March signed a licensing and collaboration
deal that committed the British drugmaker to pay up to $6.9
billion to its Japanese partner Daiichi Sankyo.
"The pharmaceutical sector has been strong recently," said
Kiyoshi Ishigane, chief fund manager at Mitsubishi UFJ Kokusai
Asset Management Co in Tokyo.
"You can't really say it is a defensive play, but at the
same time the sector has risen so much that I would be wary of
chasing the upside from here."
Sentiment also remained positive after U.S. President Donald
Trump reiterated over the weekend that Washington and Beijing
are on track to sign a so-called phase one trade deal that will
delay additional U.S. tariffs on Chinese goods in exchange for
large purchases of U.S. agricultural products. However, some traders said the deal would not eliminate the
potential for additional clashes between the United States and
China over trade and foreign policy, which could continue to
unsettle the global outlook.
There were 69 advancers on the Nikkei index against 153
decliners on Monday.
The largest percentage gainers were Daiichi Sankyo, up
2.84%, followed by retailer Aeon Co Ltd 8267.T , gaining 2.77%,
and Internet services company Z Holdings Corp 4689.T , up
2.76%.
The largest percentage losers were Nippon Sheet Glass Co Ltd
5202.T , down 6.82%, followed by shipbuilder Mitsui E&S
Holdings Co Ltd 7003.T , down 3.56%, and construction and
engineering firm JGC Holdings Corp 1963.T , losing 3.21%.
In mergers-and-acquisitions activity, shares of Unizo
Holdings Co Ltd 3258.T rose 5.31% after the hotel chain on
Sunday said it had received a friendly buyout offer from U.S.
investment fund Lone Star. The offer could end a five-month takeover battle involving
Blackstone Group Inc BX.N , Fortress Investment Group and
activist investor Elliott Management.
The broader Topix index .TOPX fell 0.21% to 1,729.42.
The volume of shares traded on the Tokyo Stock Exchange's
main board .TOPX was 0.96 billion, compared with the average
of 1.21 billion in the past 30 days.
AstraZeneca, Daiichi's breast cancer drug gets accelerated
approval from FDA says trade deal with China to be signed 'very shortly'
Star emerges as white-knight bidder for Japanese hotel
chain Unizo ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>