Japan stock market week to July 9, 2007

Tokyo stretched a gain in the week to July 9. The Nikkei 225 was up 0.6%, to close at the 18,261.98, the highest finish since May 2, 2000, while the Topix index rose 0.7%. The market moved within a narrow price range early in the week because domestic investors refrained from taking positive action due to uncertainties about the outcome of the House of Councillors election scheduled for late July. However, the market turned higher toward the end of the week, thanks to resumed recognition of the bright outlook for Japanese corporate earnings on a report that machinery orders in May advanced 5.9% from the previous month, better than the average projection of a 2.8% increase. Electronics manufacturers, autos and machinery makers received buying attention. The pharmaceutical index went up 1.4%, outperforming the market.