Tokyo consumer finance sector higher

Asia-Pacific equities markets were almost universally higher on Thursday. The main exception was the Straits Times Index in Singapore, which fell 0.06 percent to 3,604.62. In India, the Sensex added 1.63 percent to 15,550 to reach an all-time high as it added 249 points on the session. Elsewhere, the Hang Seng index in Hong Kong was 0.76 percent higher to 23,016.2, while the Sydney Ordinaries gained 0.81 percent to close t 6,419.

Tokyo’s markets saw gains as well, as the Nikkei 225 added 0.6 percent to 18,116.57 and the Topix index gained 0.5 percent to 1,768. Tokyo Electric Power (TYO: 9501) continued to decline after reports of earthquake damage to one of its nuclear power plants. It dropped another 5.6 percent to ¥3,400 after Nomura Securities (TYO: 8604; NYSE: NMR; SGX; N33) reduced its recommendation from “neutral” to “reduce”. The real estate sector also saw declines, with Mitsubishi Estate (TYO: 8802) down 0.9 percent to ¥3,180 and NTT Urban Development (TYO: 8933) falling 1.4 percent to ¥217,000. The consumer finance sector saw advances after it was reported that Promise (TYO: 8574) and Sanyo Shinpan Finance (TYO: 8573) are about to agree to a merger. Trade in both companies was halted after the reports, but Promise had added 5.9 percent to ¥3,790 and Sanyo Shinpan was 12.2 percent higher to ¥3,600 before that occurred. Elsewhere in the sector, Takefuji (TYO: 8564) gained 7.7 percent to ¥4,404 and Aiful (TYO: 8515) was up 11.2 percent to ¥3,480. The steel sector was up in anticipation of the release of JFE Holdings’ (TYO:5411) quarterly results, due at the end of the month. JFE added 4.4 percent to ¥8,270, while Nippon Steel (TYL: 5401) was 4.7 percent higher to ¥919.

European equities markets were higher on the session, with the FTSE Eurofirst 300 rising 0.92 percent to 1,617.76. The IBEX added 0.99 percent to 15,207.3 in Madrid, while the Paris CAC-40 gained 1.16 percent to 6,065.5 and the Dax was 1.24 percent higher in Frankfurt to 7,991.21. The best performer on the Dax on the session was software group SAP (FWB: SAP; NYSE: SAP), which gained 6.06 percent to €40.14 after it reported that software licensing sales were up 18 percent in the second quarter. IT Services company Cap Gemini (Euronext: CAP) had the best day in Paris, adding 3.95 percent to €57.11. Other gainers on the session included STMicroelectronics (Euronext: STM; NYSE: STM), which was 2.14 percent higher to €14.34 and builder Vinci (Euronext: DG), which was up 2.13 percent to €57.19. Engineering group Siemens (FWB: SIE; NYSE: SI) gained 2.85 percent to €108.35, while in the steel sector ThyssenKrupp (FWB: TKA; LSE: THK) added 1.7 percent to €44.34. The automobile manufacturing sector was mixed, with Peugeot (Euronext: UG; OTC: PEUGY) up 2.29 percent to €63.10 but BMW (FWB: BMW) down 0.08 percent to €38.94. There were only two decliners on the CAC-40. Drinks maker Pernod-Ricard (Euronext: RI) dropped 0.04 percent to €164.53, while utility EDF (Euronext: EEN) fell 0.63 percent to €77.02.

In London, the FTSE 100 added 1.11 percent to 6,640.2, while the FTSE 250 gained 1.32 percent to 11,880.2. Miner Antofagasta (LSE: ANTO) was the best performer on the 100, where it was 5.37 percent higher to 725.5p. The sector was mixed, however. While Vedanta Resources (LSE: VED) was also higher, adding 4.22 percent to £18.04, Aquarius Platinum (LSE: AQP; ASX: AQP; JSE: AQP) was had the worst day on the 250, falling 3.41 percent to £16.15. Property investment company Shaftsbury (LSE: SHB) did the best on the session on the 250, adding 9.16 percent to 608p. In the same sector, Minerva (LSE: MNR) gained 6.71 percent to 330p. Back on the 100, aerospace and defense group BAE Systems (LSE: BA; OTCBB: BASEY) was 4.79 percent higher to 421.25p on the news that its proposed acquisition of Armor Holdings (NYSE: AH), which makes military and law enforcement equipment, has been approved by US antitrust authorities. Insurer Old Mutual (LSE: OML; JSE: OLOML) was 4.58 percent higher to 175.9p on the news that Nedbank (JSE: NED), a South African bank in which it holds the majority stake, is in talks with Standard Chartered concerning a takeover. Standard Chartered (LSE: STAN; SEHK: 2888) was lower on the report, dropping 0.77 percent to £16.71. Pubs operators were lower on the session after Mitchells and Butlers (LSE: MAB) had the worst day on the 100, dropping 3.25 percent to 863p after a broker downgrade from “hold” to “sell” and the setting of a target share price at 790p on a report of a possible property deal. In the same sector, JD Wetherspoon (LSE: JDW) fell 1.29 percent to 611p. British Energy (LSE: BGY) was 1.23 percent lower to 523p after its chairman said that the power generator’s nuclear power output last year was “disappointing”.

Wall Street was higher in early afternoon trading. The Dow Jones Industrial Average was 0.51 percent higher to 13,988.95, while the Nasdaq Composite had added 0.81 percent to 2,721.3 and the S&P 500 was up 0.43 percent to 1,552.85. Earnings news was in focus as IBM (NYSE: IBM) and Juniper Networks (NAS: JNPR) both reported. IBM said that second quarter profits were up with help from its software division and services business. It also raised its profit forecast for this year, sending shares up $4.74 to $115.82. Network equipment manufacturer Juniper, meanwhile, also said profits rose in the second quarter and upped its earnings outlook for the full year, adding $3.24 to $29.97. Elsewhere in the computer sector, Hewlett-Packard (NYSE: HPQ) added $1.57 to $48.71. Google (NAS: GOOG; LSE: GGEA), Microsoft (NAS: MSFT), and Advanced Micro Devices (NYSE: AMD) were all scheduled to report after the close of trade on Thursday. Google was $2.30 lower to $547.20, but Advanced Micro Devices was up 27 cents to $15.73 and Microsoft had added 57 cents to $31.49. The internet sector was lower. Ebay (NAS: EBAY) was down 53 cents to $33.52 after it did not change its full-year outlook. Meanwhile, Yahoo (NAS: YHOO) dropped 14 cents to $26.06.