28 Nov 2014
Nikkei gains on falling oil prices
FXStreet (Mumbai) - The Japanese stock markets were buoyed by hopes of a possible reduction in energy import bill following a sharp drop in Crude oil prices.
The Nikkei gained 1.23% to end the day at 17,459.85 levels. The stocks opened higher following a release of a better-than-expected industrial production data for October. Meanwhile, a weak Yen also helped exporter shares gains strength. Moreover, stock prices rallied on hopes of more stimulus from the Bank of Japan after Japan’s core consumer price index for October rose only 0.9%.
Among stocks, Automakers Toyota, Honda and Mazda and electronics giants Sony and Hitachi advanced due to a weaker Yen. Oil developers Inpex and Japan Petroleum Exploration came under heavy selling due to a sharp decline in Oil prices. On the minus side, were trading house Mitsui and paper manufacturers Nippon Paper and Oji Holdings. Telecommunications carrier NTT and technology and chemical firm Fujifilm also suffered losses.
Nikkei Technical Levels
The index has an immediate resistance at 17,488 (Oct 2007 high),above which gains could be extended to 17,563 (Apr 2006 high). Meanwhile, support is seen on the hourly chart at 17,300 and 17.207 levels.
The Nikkei gained 1.23% to end the day at 17,459.85 levels. The stocks opened higher following a release of a better-than-expected industrial production data for October. Meanwhile, a weak Yen also helped exporter shares gains strength. Moreover, stock prices rallied on hopes of more stimulus from the Bank of Japan after Japan’s core consumer price index for October rose only 0.9%.
Among stocks, Automakers Toyota, Honda and Mazda and electronics giants Sony and Hitachi advanced due to a weaker Yen. Oil developers Inpex and Japan Petroleum Exploration came under heavy selling due to a sharp decline in Oil prices. On the minus side, were trading house Mitsui and paper manufacturers Nippon Paper and Oji Holdings. Telecommunications carrier NTT and technology and chemical firm Fujifilm also suffered losses.
Nikkei Technical Levels
The index has an immediate resistance at 17,488 (Oct 2007 high),above which gains could be extended to 17,563 (Apr 2006 high). Meanwhile, support is seen on the hourly chart at 17,300 and 17.207 levels.