Japanese stocks closed higher supported by auto gains and a ‎weak yen

Japanese stocks closed higher on Friday after the decline in the yen boosted the gains of export companies, including automakers. Shares of financial companies also rose, with the continued pursuit of value stocks.

According to Reuters, the Nikkei index rose 0.27% to close at 33,377.42 points, but ended the week shortened by the holiday with a loss of 0.26%.

The broader Topix index rose 0.62% to 2,393.54 points, jumping 1.15% during the week.

Shotaro Yasuda, a market analyst at the Tokai Tokyo Research Institute, said, “The market was led by exporters whose stocks rose as a result of the weakness of the yen… and the Topix index maintained its momentum that it had in the last session as investors sought to buy high-yielding stocks.”

The Japanese yen fell against the dollar as investors reduced their expectations for an early cut by the Federal Reserve (the US central bank) on the eve of the emergence of data indicating the strength of the labor market.

Toyota Motor shares rose 2.52%, becoming the largest supporter of the Topix index, while Mitsubishi Financial Group shares rose 2.69%. Mitsubishi Trading Company shares rose 2.86%

This month, the government implemented a major reform of the Nippon Individual Savings Account program to exempt individual investors from paying capital gains taxes on stocks purchased under the program.

The Topix value stock index jumped 1.26%, while growth stocks fell 0.03%.