Japan shares Closed Higher on Positive Earnings Outlook

Japanese shares closed higher on Monday, February 1, after falling for two sessions, as sentiment was boosted by positive earnings outlooks and gains made by shares of chipmakers that had previously been hit.

The benchmark Nikkei index rose 1.55% to 2,8091.05 points, and the broader Topix index gained 1.16% to 1,829.84 points.

Japanese stocks fell for two days, as investors grew anxious about more market turmoil in the United States resulting from the headline-grabbing battle between individual investors and funds specializing in short selling of stocks.

Asian stocks also rallied, and US equity futures recovered from early losses, as individual investors, who have recently become a powerful force, shifted their attention to precious metals, giving hedge funds severely damaged by their moves.