Japan’s Topix index swung between gains and losses as a weaker yen boosted exporters while investors shunned risk assets on the possibility the U.S. will lead military action against Syria.
Toyota Motor Corp., Asia’s biggest carmaker, advanced 0.5 percent after the yen dropped 0.6 percent against the dollar yesterday. Oil stocks led gains on the Topix (TPX) after crude traded at a two-year high yesterday. Power producers declined the most among the gauge’s 33 industry groups. Komatsu Ltd. slid 1.4 percent after rival Joy Global Inc., the largest maker of underground mining equipment, projected a decline in sales amid a slowdown in demand for metals and coal.
The Topix added less than 0.1 percent to 1,114.26 as of 9:25 a.m. in Tokyo, after falling as much as 0.1 percent. The gauge lost 1.8 percent yesterday to close at its lowest level since June 27. The Nikkei 225 Stock Average increased 0.5 percent today to 13,400.97.
“With the recent correction and the growing feeling stocks are undervalued, some investors will be buying back shares,” said Mitsushige Akino, chief fund manager at Ichiyoshi Asset Management Co. in Tokyo. “But increasing concerns and complications mean investors may take a wait-and-see approach and buying will be limited.”
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