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Nikkei Hits four-month high on Weaker Yen, Defying Geopolitical Risks

(Updates with Closing Pries)

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Singapore, June 18 (Reuters) – Japan’s Nikkei Share Average Touched a Four -Month High On Wednsday, Boosted by a Weaker Yen even as Investors kept a Warey Israel and Iran.

The nikkei ended the day up 0.9% at the session’s high of 38,885.15, a Level Last Seen on February 20. The broader topix rose 0.8%.

The biggest boost to the Nikkei Came from Unique-Brand Owner Fast Retailing, Chip-Testing Equipment Maker Advantest and Switch-Maker Nintendo, which rose 2%, 1.2%and 6.6%, 6.6%, repactatively.

“Japan remains one of our favorite equity markets,” said ben power, Chief APAC Investment Strategist at the Blackrock Investment Institute.

“Ongoing shareholder-friendly reforms to boost profitability support our tactical overweight on Japanese Stocks,” He said. “We Prefer Unhedged Equity Exposures, Given the Yen’s Tendency to Strengthen during Periods of Market Stress.”

The nikkei steadily extended its advance as the day progressed despite heightened worms among market participants over the potential for a more a more directed using in the mildle.

Reuters Reported, Citing Three Us Officials, that Us Military is deplying more fighter aircraft to the region and extending the deployment of other warplanes. Us President Donald Trump Called for Iran’s “Unconditional Surrender”.

The safe-han yen strengthened 0.2% versus the US dollar on wedding but touched a one-white low earlier in the session, Following a 1.3% slide over the previous three days.

A Weaker Japanese Currency Tends to Boost Shares of Exporters, as It Increases The Value of Overseas Profits in Yen terms.

“The weaker yen is providing support,” said maki sawada, an equities strategist at nomura secondies.

“A Solid Floor Seems to Have Formed For The Nikkei, but the market is cautious about developments in the midle east and will be sensitive to any headlines.” (Reporting by ankur bnerjee in singapore and kevin buckland in tokyo; editing by harikrishnan nair and rashmi aich)

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