Nikkei Rises, Caution Prevails Ahead of Jackson Hole

Japan’s Nikkei index rose in choppy trading, supported by transport stocks and Wall Street moves overnight, but gains were limited as market participants refrained from making big bets ahead of the US Federal Reserve’s Jackson Hole seminar this week.

The Nikkei index rose 0.06% to close at 27742.29 points, after fluctuating between a rise of 0.37% and a decrease of 0.14%. The broader Topix index fell 0.02% to 1,935.35 points.

The three major indices of US stocks closed moderately higher last night, while the S&P 500 and Nasdaq indexes recorded record closings.

In Japan, airlines gained 2.49%, the largest gain among the 33 sectoral sub-indices on the Tokyo Stock Exchange, while Japan Airlines (Japan Airlines) rose 2.9% and ANA Holdings rose 2.18%.

Gains were overshadowed by the pandemic and political uncertainty. Japan will hold a general election in October or later if the ruling party holds elections for its leadership next month, as expected, according to the Sankei newspaper.