TOKYO, May 6 (Reuters) - Japanese shares jumped on Thursday,
tracking overnight Wall Street gains, as investors scooped up
cyclical shares after the benchmark Nikkei's four consecutive
weekly declines, but technology shares capped gains following
the Nasdaq lower.
The Nikkei share average .N225 jumped 2.11% to 29,419.75
by 0213 GMT, while the broader Topix .TOPX advanced 1.97% to
1,935.71.
"The market rebounded after sell-offs before the Golden Week
holiday when investors were too cautious about the market
outlook," said Shoichi Arisawa, general manager of the
investment research department at IwaiCosmo Securities.
"The strong U.S. market also supported sentiment today. But
I am not sure how long this will last because the situation in
Japan is very different from that in the U.S."
The Dow Jones Industrial Average .DJI ended at a record
high on Wednesday, driven by economically sensitive sectors,
while the Nasdaq Composite .IXIC ended lower as Treasury
Secretary Janet Yellen suggested an interest rate hike. .N
While the U.S. economy has shown signs of recovery from the
COVID-19 lows, Japan's economy still remains under strain, with
the nation considering extending a state of emergency in Tokyo
and other major urban areas. Material makers led gains, with steel makers Nippon Steel
5401.T and JFE Holdings 5411.T surging 7.34% and 7.51%,
respectively. Paper maker Oji Holdings 3861.T jumped 6.82%.
Technology shares weighed on the indexes, with Advantest
6857.T falling 1.35%. Tokyo Electron inched up 0.27% even as
its annual operating profit forecast of 442 billion yen ($4.04
billion) beat analysts' forecast. Nissan Motor 7201.T rose 2.88%, after the carmaker sold
its roughly 1.5% stake in German carmaker Daimler DAIGn.DE .
= 109.3200 yen)