Nikkei closes higher, chip stocks trim losses

Japan’s Nikkei index closed higher on Thursday after chip-related heavyweight stocks trimmed early losses and energy stocks rose, rising 0.29% at 38,807.38 points after three consecutive sessions of losses. The index fell by as much as 0.76% earlier in the session.

The broader Topix index rose 0.49% to 2,661.59 points. Meanwhile, shares of utility companies increased 4.12% and were the best performers among the 33 sector sub-indices on the Tokyo Stock Exchange, after Tokyo Electric Power Holdings shares jumped 6.76%.

Nissan Motor shares jumped 2.23% after local television network TV Tokyo reported that the automaker was considering seeking to establish a partnership with Honda Motor. Honda shares rose 1.13%.

Fast Retailing, which owns the Uniqlo clothing brand, increased 1.62%, providing the greatest support to the Nikkei index.

Of the 225 components of the Nikkei index, 174 stocks rose and 51 stocks declined.