Yahoo Finance Tokyo stocks open higher on US economic hopes
Tokyo stocks opened higher on Monday with investor sentiment buoyed by solid US job gains and a move by President Donald Trump to roll back financial regulations.
US non-farm payrolls for January came in above forecast at 227,000 new jobs on Friday, with hiring up in retail, construction and the financial sector, the Labor department said.
Trump ordered a review of key reforms enacted after the 2008 financial crisis, in the first step towards scaling back toughened regulations on the banking industry.
The Nasdaq finished at a fresh record, while the S&P 500 climbed to within a point of a new peak and the Dow vaulted back above 20,000 points.
In Tokyo, the benchmark Nikkei 225 gained 0.80 percent, or 151.63 points, to 19,069.83 in the first few minutes while the Topix index of all first-section issues was up 0.99 percent, or 14.94 points, at 1,529.93.
The dollar was flat, trading at 112.60 yen Monday against 112.61 yen in New York Friday afternoon.
"With construction work acting as a boost, the pace of recovery in the US economy is quickening," said Shoji Hirakawa, chief global strategist at Tokai Tokyo Research Institute.
"The easing of financial regulations in the US is likely to work in Japanese financials' favour as well," he told Bloomberg News.
Japanese mega-banks jumped with Mitsubishi UFJ Financial rising 4.58 percent to 763.5 yen and Sumitomo Mitsui Financial up 2.74 percent at 4,534 yen.
Top brokerage Nomura climbed 2.59 percent to 751.2 yen.
Auto giant Toyota rose 1.22 percent to 6,524 yen and Suzuki was up 1.26 percent at 4,555 yen, with the two companies expected to announce a business tie-up later in the day.
Toyota said a possible alliance with Suzuki would be discussed at a board meeting Monday as it is to announce nine-month results.
Honda jumped 3.24 percent to 3,534 yen after it revised up its full-year outlook thanks to a weaker yen.
Takata was unquoted with sell offers overwhelming buying bids after a weekend report in leading business daily Nikkei said that US-based Key Safety Systems has been selected as the favoured candidate to help rehabilitate the troubled airbag maker.
Takata, which is at the centre of the biggest-ever auto safety recall, said the company had received "a recommendation of Key Safety Systems by the committee" tasked with drafting a turn-around plan, but had not made a decision yet on the sponsor.
