(RTTNews) - Tuesday, the Japanese stock market rebounded from its worst one-day loss since the 1987 stock market crash on Friday and was trading sharply higher after major governments’ plans to support the global banking system boosted confidence that the credit markets may be unfreezing. Meanwhile, a weaker yen boosted export-oriented stocks. Markets in Japan were closed on Monday for a national holiday.

At 9.01 P.M. ET, the benchmark Nikkei 225 Index was trading at 9,289.75, up 1,013.32 points or 12.24% and the broader Topix Index of all First Section Issues was gaining 77.39 points to 918.25. The Nikkei index saw the sharp gains after losing ground for seven straight trading days through Friday with a total loss of more than 3,000 points.

Trade in Nikkei futures trading on the Osaka stock exchange and Topix futures trading on the Tokyo stock exchange were halted early on Tuesday after a circuit breaker was triggered.

The U.S. stock markets snapped a brutal losing streak to close higher on Monday for the first time in nine trading sessions. The Dow Jones industrial average closed up 11.1% at 9,387.61, registering its biggest daily point gain ever. The Standard & Poor’s 500 Index surged 11.6% to 1,003.35 and the Nasdaq Composite Index advanced 11.8% to 1,844.25.

Crude oil rebounded from a 13-month low and closed higher in Monday’s trading on the New York Mercantile Exchange. Light sweet crude climbed to $81.19, up $3.49 on the session.

In the currency market, the U.S. dollar was trading in the upper 102 yen-level on Tuesday. In early trades, the dollar was quoted in a range of 102.67-102.70 yen, up 3.52 yen from Friday’s close of 99.15-99.18 yen in Tokyo.

Among economic news, Japan announced September numbers for its domestic corporate goods price index, or CGPI. Prices for Japan’s wholesale-level production increased at a slower pace in September than in the previous two months. The Bank of Japan reported Tuesday that the domestic Corporate Goods Price Index increased 6.8% on year in September, compared to a 7.2% annual increase in August. The July increase of 7.3% was the highest in 27 years.

Japan is also slated to release consumer confidence data for the month of September later in the day. Consumer confidence is expected to post a score of 29.9 in September after a reading of 30.5 in August. Household consumer confidence stood at 30.1 in the previous month.

In the banking space, shares of Mitsubishi UFJ, Mizuho Financial Group and Sumitomo Mitsui were not traded as orders to buy outnumbered those to sell. Mitsubishi UFJ had wrested better terms and closed its $9 billion investment deal in Morgan Stanley on Monday.

Among automakers, Honda jumped 17.77% and Suzuki rose 10.37%. Nikon surged 14.69% and heavy machinery maker Komatsu advanced 1.94%.

In the tech sector, Advantest rose 13.82%, Fujitsu gained 11.01% and Fanuc soared 15.78%. Among oil-related stocks, Inpex Holdings rose 9.13%.

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Posted in Categories: Japan, Releases, Stocks, USA.

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