TOKYO, Nov 19 (Reuters) - Japan's Nikkei share average
rose on Tuesday, driven by chip-related stocks after the Nasdaq
closed higher overnight, while investors awaited AI leader
Nvidia's ( NVDA ) quarterly earnings due later in the global day.
The Nikkei had climbed 0.55% to 38,429.37 by the
midday break, while the broader Topix was up 0.47% at
2,704.47.
"Some of Japan's chip-related stocks rose after the U.S.
semiconductor chip index snapped six straight sessions of
losses overnight," said Shuutarou Yasuda, a market analyst at
Tokai Tokyo Intelligence Laboratory.
"Some chip shares also fell as market participants stayed
away from active bets ahead of Nvidia's ( NVDA ) earnings."
The Nasdaq and S&P 500 closed higher on Monday, recovering
some losses as investors anticipate quarterly earnings from
Nvidia ( NVDA ).
Nvidia ( NVDA ) will report its third-quarter earnings on Wednesday,
which investors will parse to assess demand for chips and the
sustainability of the AI euphoria that has driven much of the
market's rally this year.
In Japan, chip-testing equipment maker Advantest ( ADTTF )
jumped 4.18% and was the biggest boost to the Nikkei.
Semiconductor silicon wafer maker Shin-Etsu Chemical ( SHECF )
rose 1.51%.
Lasertec fell 1.07%, while Tokyo Electron
erased early losses.
Banking shares rose on expectation the Bank of Japan would
hike rates as soon as next month. The banking index
gained 0.99%, with Sumitomo Mitsui Financial Group ( SMFG ) and
Mizuho Financial Group ( MFG ) climbing 2.02% and 1.71%,
respectively.
Auto makers rose 1.35% to become the top
performer among the Tokyo Stock Exchange's 33 industry
sub-indexes. Toyota Motor ( TM ) and Honda Motor ( HMC )
gained 1.61% and 1.76%, respectively.
Overall, investors remained cautions as they wanted to see
the impact of policy changes from the incoming Donald Trump
administration on Japanese exporters, Yasuda said.
Staffing agency Recruit Holdings ( RCRRF ) fell 3.32% to
weigh on the Nikkei the most.
(Reporting by Junko Fujita; Editing by Subhranshu Sahu)