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Roundup: Tokyo stocks close lower as tech shares sold for profits

Japanese shares end higher on Wall Street gains, stable U S rates

By Reuters Staff 2 Min Read TOKYO, May 21 (Reuters) - Japanese shares ended higher on Friday, as a strong finish on the Wall Street overnight prompted investors to bet on cheap growth stocks, while stable U.S. interest rates also underpinned sentiment. The Nikkei share average advanced 0.78% to close at 28,317.83, while the broader Topix rose 0.46% to 1.904.69. Nikkei, which has been under pressure on concerns over slow economic recovery from the COVID-19 lows due to Japan’s stagnated vaccine rollouts, briefly fell by just over 10% earlier this month from a peak hit in February. “Investors have started feeing comfortable with making bets as share prices have become relatively cheap,” said Jun Morita, general manager of the research department at Chibagin Asset Management.

Asian Shares Mixed In Cautious Trade

Asian Shares Mixed In Cautious Trade While bargain hunting offered some support, inflation worries and COVID concerns kept the underlying mood cautious. Chinese markets ended lower, as financials and consumer staple stocks came under selling pressure, offsetting gains in the commodities sector. The benchmark Shanghai Composite index fell 20.39 points, or 0.58 percent, to 3,486.56, while Hong Kong s Hang Seng index finished marginally higher at 28,458.44. Japanese shares ended higher despite lingering concerns over slow economic recovery from the pandemic due to stagnated vaccine rollouts. The Nikkei average climbed 219.58 points, or 0.78 percent, to 28,317.83, while the broader Topix index closed 0.46 percent higher at 1,904.69. Japan s factory activity expanded at a slower pace in May while inflation fell in April, surveys showed earlier today just as the country approved two more coronavirus vaccines.

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