Nikkei hovers near 29-year peak as Biden edges toward victory

TOKYO, Nov 6 (Reuters) - Japanese shares on Friday hovered
near a 29-year high, following strong cues from global equities,
as investors hoped a gridlock in U.S. Congress during a possible
Joe Biden presidency would be able to halt major policy changes.
The benchmark Nikkei share average .N225 rose 1.09% to
24,367.35 by the midday break, just a fraction below 24,448.07,
a level unseen since November 1991. Earlier in the session, the
index touched its highest since October 2018.
The broader Topix .TOPX gained 0.76% to 1,662.46.
All but two of the 33 sector sub-indexes on the Tokyo
exchange traded higher, with iron and steel .ISTEL.T , shippers
.ISHIP.T and machineries .IMCHN.T leading the gains.
Investors expect Democrat Joe Biden to beat President Donald
Trump and the Republicans to retain control of the Senate,
allowing them to block the Democrats' agenda, such as corporate
tax hikes and massive borrowing for large spending.
While the election outcome hinged on a dwindling set of
uncounted votes in a handful of battleground states, Biden
maintained an edge over Trump. But uncertainty still loomed as
the Republican incumbent mounts legal challenges to vote counts.
The Nikkei and Topix indexes were poised to mark their
biggest weekly gains since late May, last up more than 5% each.
Among the stocks that gained the most among the top 30 core
Topix names, Daikin Industries 6367.T rose 4% after it made
upward revisions to its net profit forecast for the year ending
March 2021. Toyota Motor 7203.T climbed 2.35% ahead of its earnings
report later in the day, after a media reported that the company
would more than double its full-year operating profit forecast

Nintendo 7974.T spiked 2.56% after the company raised its
full-year operating profit forecast by 50%. Elsewhere, Eisai 4523.T extended gains after posting a
near 18% jump in the previous trade, last up 7.34%, on
expectations that the company and its partner Biogen Inc BIIB.O
moved closer to receiving the U.S. FDA's nod for their Alzheimer
drug.