Nikkei shares inch higher as vaccine optimism lifts recovery hopes

TOKYO, Nov 27 (Reuters) - Japan's Nikkei average inched
higher on Friday as investor confidence climbed over prospects
of recovery in economic growth and corporate earnings following
promising news on COVID-19 vaccine distribution.
A drop in U.S. political uncertainty after President-elect
Joe Biden's transition to the White House and signs of pick-up
in the Chinese economy also lifted the market.
Japan's Nikkei share average .N225 was up 0.38% at
26,637.01 by 0100 GMT, on track for its fourth straight session
of gains while hovering near its 29-1/2-year intraday high
touched on Wednesday.
The index has gained 15.9% so far this month, and is on
track for its best performance since January 1994. The broader
Topix .TOPX rose 0.54% to 1787.86.
"Investors are growing confident about profit recovery in
the next financial year," said Takuya Hozumi, global investment
strategist at Mitsubishi UFJ Morgan Stanley Securities.
"When you think profits will rise 40-50% next year, the
current valuation do not look expensive."
U.S. President Donald Trump said on Thursday that delivery
of the coronavirus vaccine would begin next week and the week
after. Electronic parts manufacturers are benefiting from hopes for
increased demand related to electric vehicles, 5G communications
and other new technologies.
Nidec 6594.T gained 3.8% while Murata Manufacturing
6981.T rose 2.4%, both hitting record highs. Keyence 6861.T
rose 1.7%.
Including many in the tech sector, growth shares led the
gains, with Topix Growth .TOPXG rising 0.85% compared with
0.26% in Topix Value .TOPXV .
Ballpark operator Tokyo Dome Corp 9681.T was untraded with
glut of buy orders, quoted up 16.7% at the session's upper price
limit after the company said it will discuss a take-over bid by
property developer Mitsui Fudosan 8801.T . Mitsui Fudosan gained 2%.
On the other hand, Monex 8698.T , which owns
crypto-currency exchange Coincheck, dropped 3% after bitcoin
BTC=BTSP fell more than 8% on Thursday.
Trade was slow due to a U.S. Thanksgiving holiday on
Thursday.