TOKYO, Nov 12 (Reuters) - Japan's Nikkei share average
rose on Tuesday, buoyed by a softer yen and domestic corporate
earnings, although semiconductor-related shares logged declines,
capping gains on the benchmark.
The Nikkei was up 0.5% at 39,748.13 by the midday
break, while the broader Topix rose about 1% to
2,766.36.
Investor sentiment was up after Wall Street's main indexes
notched record high closes on Monday as Trump-linked stocks
continued to advance.
Meanwhile, a weaker yen offered support for Japan's
export-related shares, with automakers rallying. Toyota Motor ( TM )
and Suzuki Motor ( SZKMF ) added 3.4% and 4%,
respectively.
While automakers' revenue reports this season suffered from
factors including a delay in production recovery, recent yen
depreciation has the market considering it a "potential tailwind
for future performance," said Nomura Securities strategist Maki
Sawada.
The transport equipment sector, which includes
Toyota Motor ( TM ) and other automakers, was one of the best
performing sectors, up 2.9%.
Financial shares also gained after some positive earnings
releases on Monday. Major banks such as Mizuho Financial Group
announce their results later in the week.
The banking sector climbed about 2.2%.
Investors also had their eyes on financial reports from
Nikkei heavyweights later on Tuesday, including releases from
AI-focused startup investor SoftBank Group and
chip-making equipment giant Tokyo Electron ( TOELF ) after the
market closes.
Chip-related shares were the biggest drag on the Nikkei,
following a 2.5% decline on the Philadelphia SE Semiconductor
index on Monday. Investors were weighing a Reuters report
published over the weekend that the U.S. ordered Taiwan
Semiconductor Manufacturing Co ( TSM ) to halt shipments of
advanced chips to Chinese customers.
Chip-testing equipment maker Advantest ( ADTTF ) fell 2.7%,
along with Tokyo Electron ( TOELF ), down 1.8%, Lasertec ( LSRCF ), sliding
3.6%, and Disco Corp ( DISPF ), losing 2.1%.
Among other shares, staffing agency Recruit Holdings ( RCRRF )
was last up 5.1% after upwardly revising its profit
outlook on Monday.