The Japanese market is seeing a choppy ride on Friday with investors mostly treading cautiously amid a slew of economic data. Despite a smart rebound after a flat start, the market retreated to lower levels with traders awaiting the outcome of the central bank's policy meeting.
Automobile, steel, financial and transport stocks surged higher but gave up some gains subsequently. Pharmaceuticals, foods and insurance stocks are mostly trading weak.
The benchmark Nikkei 225 index, which rose to 9,593.6 after drifting down to around 9,555 in early trades, is currently at 9,567, up just 5.2 points from its previous close.
Ebara Corp, up nearly 10 percent, is the top gainer in the Nikkei index. Advantest Corp shares are up nearly 6 percent with a strong earnings forecast by the company triggering some hectic buying at the counter.
Nisshin Steel, Fuji Electric, Sharp Corp, Softbank Corp, Kawasaki Kisen and Nippon Yusen KK are all up 2 to 4.5 percent.
Sumco, Fujikura, Mazda Motor, Nissan Motor, Mitsubishi Motors, Mitsui OSK Lines, Shinsei Bank, JFE Holdings, Hitachi Construction Machinery, Mitsui Chemicals and Central Japan Railway are also up in positive territory with strong gains.
Kyocera shares are up sharply on a likely 16 percent jump in net profit for financial year 2012.
Meanwhile, NEC Corp, Mitsui Fudosan, Tokyu Land, T&D Holdings Inc., Obayashi Corp, Japan Tobacco, J Front Retailing, Asahi Group Holdings, Mitsubishi Electric Corp, Showa Shell KK, Aozora Bank and Nomura Holdings are all trading notably lower.
On the economic front, industrial output in Japan added a seasonally adjusted 1.0 percent on month in March, the Ministry of Economy, Trade and Industry said in Friday's preliminary reading. That was well shy of forecasts for an increase of 2.3 percent following the 1.6 percent contraction in February.
On an annual basis, output climbed 13.9 percent - also missing expectations for an increase of 15.5 percent following the 1.5 percent increase in the previous month. As a result of the data, the METI maintained its assessment of industrial production, saying: "Industrial production continued to show an upward movement."
According to another report from the same ministry, retail sales in Japan were up 10.3 percent on year in March, standing at 12.432 trillion yen. That beat forecasts for an increase of 10.0 percent following the 3.5 percent gain in February. On a seasonally adjusted monthly basis, retail sales fell 1.2 percent - shy of forecasts for a decline of 0.5 percent after collecting 2.0 percent in the previous month.
According to the data released by the Ministry of Internal Affairs and Communications, core consumer prices in Japan were up 0.2 percent on year in March - beating forecasts for a gain of 0.1 percent, which would have been unchanged from the February reading.
Overall inflation came in higher by 0.5 percent, topping expectations for 0.4 percent after adding 0.3 percent in the previous month. On a monthly basis, core CPI and overall inflation both were up 0.5 percent.
According to another report from the internal affairs ministry, the unemployment rate in Japan came in at a seasonally adjusted 4.5 percent in March, unchanged and in line with expectations.
The ministry also revealed that average household spending in Japan was up 3.4 percent on year in March, at 303,841 yen. That was well shy of forecasts for an increase of 4.1 percent following the 2.3 percent gain in February.
The average of monthly income per household stood at 441,015 yen, up 4.3 percent on year. The average of consumption expenditures was 329,671 yen, up an annual 4.3 percent.
In the currency market, the U.S. dollar traded in the lower 81 yen range in early deals in Tokyo. The yen is currently trading at 81.10 to the U.S. dollar.
Among other markets in the Asia-Pacific region, Hong Kong, New Zealand, Singapore, South Korea and Taiwan are trading higher. Shanghai and Malaysia are trading weak, while Australia is trading flat. Markets across the region closed modestly higher on Thursday.
On Wall Street, stocks moved mostly higher on Thursday, with traders reacting to positively to upbeat housing data. The major averages pulled back off their best levels going into the close but still ended the day firmly positive. The Dow rose 113.9 points or 0.9 percent to 13,204.6, the Nasdaq climbed 21 points or 0.7 percent to 3,050.6 and the S&P 500 advanced by 9.3 points or 0.7 percent to 1,340.
Major European markets ended mixed on Thursday. While the French CAC 40 index edged down by 0.1 percent, the U.K.'s FTSE 100 index and the German DAX index both ended the day up by 0.5 percent.
U.S. crude oil futures settled at a one-week high on Thursday, with strong equity markets and a weak dollar contributing to the surge. Light Sweet Crude Oil futures for June delivery, gained $0.43 or 0.4 percent to close at $104.12 a barrel on the New York Mercantile Exchange.
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Market Analysis
June 12, 2026 17:14 ET Major central bank action was the focus this week in economic news. The European Central Bank became the first major central bank to move in response to the rising inflationary pressures in the backdrop of the conflict in the Middle East. In North America, the U.S. inflation and trade data as well as Canada’s central bank decision gained attention. The Chinese trade data was the main news in Asia.