Japanese shares soared in thinned-out trading Tuesday, after the country’s economics minister said share prices are too cheap and the yen hit a fresh multiyear low.
In Japan, the Nikkei 225 Index recaptured 215.96 points, or 1.9%, to 11,369.12, with the index retaining its grip on levels last seen in late 2008.
As stocks soared, the U.S. dollar rose against the yen on Tuesday, buying ¥93.93 — up from ¥93.42 in late North American trading Monday — and marking its highest level since May 2010.
Companies exposed to currency moves and trading higher on Tuesday included Toshiba Corp. , up 2.9%; and Bridgestone Corp. , which rose 3.2%.
Bucking the trend, however, Nissan Motor Co. fell 3.8% after reporting that its October-December profit fell by more than a third.
Dentsu Inc. jumped 10.5%, however, after the advertising firm reported a 24% jump in nine-month profit.
Financial-sector margins stand to benefit if the government succeeds in introducing policies that bring inflation to the Japanese economy, and the sector rallied on Tuesday.
Mizuho Financial Group Inc. climbed 4.8%, Nomura Holdings Inc. rose 5.5%, and Daiwa Securities Group Inc. advanced 4%.
Many other Asian markets remained closed for the Lunar New Year, including those in Hong Kong, Shanghai, Shenzhen and Taipei.
South Korea — where investors were also returning from holiday — came under pressure after the South Korean Defense Ministry reportedly said a tremor detected in North Korea appeared to be a nuclear test.
The benchmark Kospi edged down with utilities among the worst performers, as Korea Gas Corp. fell 2.2%, and Korea Electric Power Corp. declined 2.4%.
Australia’s S&P/ASX 200 index ended flat, with lending giant Commonwealth Bank of Australia gaining 0.6% ahead of its earnings due out Wednesday.
Bradken Ltd. climbed 11% after the engineering firm reported an 8.5% increase in first-half net profit on Tuesday.
In other markets
Korea’s Kospi Index gave back 5.11 points, or 0.3%, to 1,945.79
In New Zealand, the NZX 50 index prospered 30.48 points, or 0.7%, to 4,225.72
In Australia, the S&P/ASX 200 gained 35.59 points, or 0.7%, to 4,971.36
