2024-04-04 01:26:08
Sluggish since the start of the week, the Tokyo Stock Exchange regained momentum on Thursday April 4 in the morning, encouraged by a new American indicator which keeps alive the scenario of future rate cuts by the Fed. The flagship Nikkei index rebounded by 1.61% to 40,086.21 points around 01:00 GMT and the broader Topix index recovered by 1.4% to 2,744.52 points.
Unlike other US indicators in recent days, the latest ISM index showed a sharp slowdown in prices in the US services sector in February. Enough to encourage the American Federal Reserve (Fed) to maintain its plan of three rate cuts this year as planned, according to observers.
The Tokyo Stock Exchange was also energized by the prospect of solid annual results from Japanese companies. Many of them are expected to use this spring’s earnings season to announce new initiatives to improve shareholder returns, such as share buyback programs and increased dividends.
Kao rammed by an activist fund
The Hong Kong activist fund Oasis Management, which is used to shaking up dormant Japanese companies, on Thursday called on the Japanese cosmetics group Kao, of which it is a shareholder, to take resolute measures to accelerate its growth and inflate its value. Kao should prioritize international and its brands in skincare, and transform its approach to marketing, according to Oasis. “It is time for Kao management to take the lead and exploit all the potential” of the group’s brands, the activist fund further thundered in a press release. In reaction, Kao shares jumped 4.15% around 01:15 GMT.
Oil continues its rise
The dollar fell slightly once morest the yen, at a rate of one dollar to 151.59 yen around 01:00 GMT once morest 151.70 yen on Wednesday at 21:00 GMT. The euro/yen rate was almost stable, with one euro worth 164.35 yen compared to 164.38 yen the day before. And the European currency was trading for $1.0840, compared to $1.0836 on Wednesday at 9:00 p.m. GMT.
Rising constantly since the end of March, oil prices continued to rise Thursday morning in Asia, once morest a backdrop of the persistent rise in tensions in the Middle East and the maintenance on Wednesday by the OPEC+ countries of their strategy of reducing oil production. black gold, in order to support prices. A barrel of American WTI gained 0.36% to $85.74 around 01:00 GMT and a barrel of Brent from the North Sea gained 0.35% to $89.66.
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