Japanese stocks touched their highest level in 29 years Monday, November 16, after the economy grew for the first time in four quarters and in light of progress towards a vaccine for Covid-19.
The benchmark Nikkei Index closed 2.05% higher at 25,906.93 points, its highest close since June 1991. The broader Topix index added 1.68% to 1731.81 points.
Japan’s economy grew at a faster than expected annual rate of 21.4% between July and September, after shrinking 28.8% between April and June.
The sentiment was also boosted after Chinese data showed factory production in the world’s second-largest economy grew faster than expected last month and retail sales accelerated, as the recovery momentum from the recession caused by COVID-19.
optimism about a vaccine overshadowed the increase of Covid-19 cases globally, after encouraging news from Johnson & Johnson. The US drugmaker launched an advanced stage of vaccine testing today, following promising developments from Pfizer and Moderna.