Japan's Nikkei edges higher on earnings, Wall Street gains
Nikkei share average rebounded on Friday, buoyed by positive earnings and Wall Street gains overnight, although profit-taking capped further advances.
The Nikkei closed 0.41% higher at 38,229.11 after rising more than 1% early in trading.
The broader Topix finished up 0.54% at 2728.21.
The benchmark index has seen a choppy week after hitting a three-week high of 38,863.14 on Tuesday.
Renewed bets for U.S. interest rate cuts following softer-than-expected jobs growth in April has brightened investor sentiment this week.
Wall Street ended higher overnight after weekly jobless claims data added to hopes for rate cuts.
That combined with solid local earnings also buoyed the Nikkei.
But investors locking profits as the index neared the psychologically-significant 39,000 level in morning trading limited gains.
The Nikkei ended nearly flat for the week, following two straight weekly gains.
«It does look to me like we've entered a period of consolidation,» said Tony Sycamore, a market analyst at IG.
«The direction of the trend for me is higher...But just in the next three to four months, I'd be a little bit more cautious,» as factors such as how the weak yen will impact the economy play out, he added.
The index rose to an all-time high of 41,087.75 earlier this year before retreating last month, when it fell 4.99% in its biggest monthly drop since December 2022.
Among individual shares, earnings reports largely decided the winners and losers of the day.
Gaming firms stood out, with Konami Group, up 9.3%,
