Japan’s benchmark Topix index edged higher as expectations for Federal Reserve rate cut continued to hold following US inflation data, while signs of strength in domestic private consumption supported investor sentiment.
Topix index rose 0.6% to 2,598.15 as of 9:33 a.m. Tokyo
Nikkei advanced 0.3% to 36,533.60.
Sumitomo Mitsui Financial Group Inc. contributed the most to the Topix Index gain, increasing 4.4%. Out of 2,132 stocks in the index, 1,151 rose and 849 fell, while 132 were unchanged.
Japan’s gross domestic product expanded at an annualized pace of 3.1% in the second quarter versus the prior period, data Thursday showed, exceeding consensus estimates. That came on the back of an an increase in private consumption, in a sign that a virtuous cycle linking rising incomes to increased spending may be starting to emerge.
The yen remained steady, trading at around 147.29 against the dollar. In the US, underlying inflation eased for a fourth month on an annual basis in July, keeping the Fed on track to lower interest rates next month.
Source: Bloomberg
