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Nikkei bounces back on earnings to cap week hit by epidemic fears

Published 31/01/2020, 04:22
Nikkei bounces back on earnings to cap week hit by epidemic fears
JP225
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TOPX
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8604
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4519
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7735
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6702
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6770
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6754
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7974
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ISECU.T
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TOKYO, Jan 31 (Reuters) - A slew of upbeat corporate

earnings and forecasts helped Japanese shares bounce back on

Friday, although lingering fears over the coronavirus epidemic

kept the market on track for its biggest weekly drop in nearly

six months.

By midday, the Nikkei share average .N225 rose 1.26% to

23,268.38, though it was still down 2.35% for the week, the

biggest since early August if sustained by close. The broader

Topix .TOPX gained 0.9% to 1,689.86.

Investors remained on the edge over how much the novel

flu-like virus could disrupt the global economy, with the World

Health Organisation declaring it a global health emergency.

Fujitsu 6702.T jumped 12% to an 18-year high after the

information technology conglomerate raised profit guidance and

dividend forecasts, and announced a share buyback.

Anritsu 6754.T soared 6.4%, also on upbeat earnings

reports due to strong 5G-related demand.

Nomura Holdings 8604.T rose 0.9% after Japan's biggest

brokerage and investment bank posted its fourth straight

quarterly profit, primarily due to a turnaround at its wholesale

business. The Topix subindex for brokerages .ISECU.T rose 1.6% and

hit its highest level since late 2018.

Strong earnings boosted Chugai Pharmaceutical 4519.T , the

second-biggest Japanese drugmaker by market cap, by 7.5%, too.

On the other hand, chip-making machine maker Screen Holdings

7735.T , fell 7.6% after declining by its daily limit of 19.3%

on Thursday, following surprise downgrades to its earnings

estimates.

Electronic parts maker Alps Alpine 6770.T shed 9.6% after

it cut its profit and dividend estimates for the year to March.

Nintendo 7974.T slipped 4.1% to a three-month low as an

upward revision in the game machine maker's profit guidance fell

short of strong market expectations. Car parts maker Denso 6202.T lost 1.0% after it cut

profits guidance.

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