Nikkei surges 4 per cent on strong March industrial output

Business Materials 30 April 2009 08:00 (UTC +04:00)

Japan's benchmark Nikkei 225 Stock Average rose 4 per cent Thursday on March industrial output data and optimism over a possible US economic recovery, dpa reported.

   The Nikkei index surged 339.87 points, or 4 per cent, to close morning trading at 8,833.64, and the broader Topix index of all first-section issues also rose 29.05 points, or 3.6 per cent, to 841.04.

   Investors returned from a national holiday Thursday to buy a wide range of issues after the nation's industrial production data for March came out stronger than expected.

   The output increased 1.6 per cent from the previous month, marking the first growth in six months, according to the government's preliminary report.

   Export-oriented car and electronics shares were sought on the US dollar's advance against the yen and on raised hopes of a recovery of US consumption.

   On currency markets at 9 am (0000 GMT), the dollar traded at 97.57-62 yen, down from Wednesday's 5 pm quote of 97.60-70 yen in New York. The Tokyo market was closed Wednesday for a national holiday.

   The euro traded at 1.3266-71 dollars, almost unchanged from late Wednesday's 5 pm quote of 1.3265-75 dollars, and at 129.44-49 yen, down from 129.57-67 yen in New York.