Tokyo stocks buoyed by Wall Street gains

Tokyo stocks edged up 0

Tokyo stocks edged up 0.8 per cent today, helped by gains on Wall Street and a weaker yen following a fresh round of dollar-support intervention by the Bank of Japan, brokers said.

The Nikkei average of 225 leading issues on the Tokyo Stock Exchange closed up 78.15 points or 0.8 per cent at 9,774.68.

In late trading, the headline index lost some ground as an earnings forecast downgrade by computer giant NEC depressed expensive technology issues, brokers said.

"Share prices held firm in the morning following gains in New York but the Nikkei average remained top-heavy in the absence of active sellers," said Nikko Solomon Smith Barney market analyst Ms Mika Katata.

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"In the afternoon, institutions liquidated long positions towards the close," she said.

Kokusai Securities equity manager Mr Hidenori Kawasaki said NEC's announcement sparked off selling in other high-priced high-techs and pushed down the Nikkei index.

But Mr Kawasaki noted the overall market was robust as shown by a solid gain in the Topix index.

The benchmark of all issues on the Tokyo exchange's first section rose 19.64 points or 2.0 per cent to 1,023.42 points. Advancing issues overwhelmed decliners by 1,107 to 279 while 94 other issues were unchanged.

AFP