The Nikkei average extended its gains in the morning session, recovering into positive territory after falling 556 yen. With few market catalysts amid the closure of U.S. markets, oil-related and information and communications stocks were bought on the back of higher crude oil prices. The morning-session close was 66,445.13 yen, with estimated trading volume of 931.04 million shares.
The Nikkei average extended its gains, ending the morning session at 66,445.13 yen, up 45.29 yen from the previous day. Trading volume was approximately 931.04 million shares.
U.S. markets were closed the previous day for Labor Day, leaving few market cues, while major European markets generally moved only modestly. Against this backdrop, the Nikkei opened down 556.15 yen, but after selling subsided, it narrowed its losses and recovered into positive territory.
Among individual stocks, oil-related and information and communications shares were bought, with SoftBank Group, Nintendo and Fast Retailing among the advancers. Nitto Denko, Toyota and Sony Group were among the decliners.
In the afternoon, trading is expected to remain range-bound around the morning-session closing level. The continued appreciation of the yen in foreign exchange markets was cited as a potential drag on export-related automakers and electronic-parts stocks. Some market participants also said they wanted to assess the direction of U.S. markets tonight.