Tokyo shares opened higher on Monday, despite a weak Japanese business confidence survey, after overseas markets rallied on easing fears over Deutsche Bank’s future.
The benchmark Nikkei 225 index rose 0.88 percent, or 145.16 percent, to 16,595.00 in early trading, while the Topix index of all first-section shares was up 0.79 percent, or 10.42 points, at 1,333.20, reports BSS.
Heavy Deutsche Bank selling eased Friday as a source familiar with the matter told AFP that a US fine over toxic debt it sold would be only $5.4 billion, not the $14 billion originally demanded.
The source said an agreement could come in the next few days to settle US government charges that the bank knowingly sold high-risk mortgage securities ahead of the 2008 financial crisis. The final amount of the settlement could be slightly different, said the person, who spoke on condition of anonymity.
Shortly before markets opened, a key central bank survey showed business confidence among Japan’s largest manufacturers is at its weakest level since Tokyo introduced measures to kick-start its tepid economy more than three years ago. That missed market forecasts for a slight improvement.
“Japan’s economy isn’t falling apart but it’s not gaining traction. The economy will likely stay at a standstill,” Yoshiki Shinke, an economist at Dai-ichi Life Research Institute in Tokyo, told Bloomberg News before the release of the data.
In forex markets, the dollar traded 101.35 yen, slightly off 101.37 yen in New York late Friday.
