Japanese stocks rose, with the Topix index capping a monthly increase, as investors watched company results on the busiest day in the earnings season. Finance companies and utilities gained, while commodity shares fell.
Leasing-firm Orix Corp. was the second-biggest boost to the Topix index after quarterly results beat estimates. Fujifilm Holdings Corp. jumped 7.9 percent after announcing a plan to repurchase as much as 100 billion yen ($ 806 million) of its shares. Nihon Inter Electronics Corp. surged 13 percent after Kyocera Corp. started a tender offer for the maker of semiconductor devices. Sony Corp. dropped 1.5 percent despite tripling its quarterly profit.
The Topix climbed 0.8 percent to 1,659.52 at the close in Tokyo, taking its gain in July to 1.8 percent. The Nikkei 225 Stock Average added 0.3 percent to 20,585.24, capping a monthly increase of 1.7 percent. More than 300 companies in the Topix report quarterly results Friday, including the nation’s three largest banks and Honda Motor Co.
U.S. stock-index futures were little changed, with equities poised for a monthly gain, as investors weighed company earnings.
LinkedIn Corp. fell 5.8 percent in premarket trading after attributing a gain in its annual revenue forecast to its acquisition of education website Lynda.com, raising concerns growth is slowing at its main business. Expedia Inc. jumped 7.2 percent in Germany after quarterly sales and profit topped estimates. Exxon Mobil Corp. and Chevron Corp. are among S&P 500 companies reporting results on Friday.
Standard & Poor 500 Index E-mini contracts expiring in September lost 0.1 percent to 2,100.75 at 10:57 a.m. in London. The gauge has risen 2.2 percent in July, poised for its best monthly advance since February, following a drop in the previous period. Contracts on the Dow Jones Industrial Average slipped 26 points to 17,660.
About two-thirds of the S&P 500 companies have reported earnings this season, with 74 percent beating profit estimates and half of them topping sales projections. Analysts expect a 4 percent drop in second-quarter earnings, shallower than July 10 calls for a 6.4 percent fall.
Source : Bloomberg