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Japanese Market Rises

The Japanese stock market is rising on Friday following the overnight gains on Wall Street after a report by the U.S. Labor Department showed another record spike in employment in the month of June and added to optimism about an economic recovery. Nevertheless, worries about the rising number of coronavirus cases in Tokyo weighed on sentiment.

The benchmark Nikkei 225 Index is adding 136.59 points or 0.62 percent to 22,282.55, after touching a high of 22,312.44 earlier. Japanese shares closed marginally higher on Thursday.

Market heavyweight SoftBank Group is rising almost 2 percent and Fast Retailing is adding almost 1 percent.

In the financial sector, Sumitomo Mitsui Financial Group is up 0.4 percent, while Mitsubishi UFJ is lower by 0.2 percent.

The major exporters are mixed. Mitsubishi Electric is advancing almost 1 percent and Canon is adding 0.1 percent, while Panasonic is edging down 0.1 percent and Sony is unchanged.

In the tech space, Advantest is rising more than 2 percent and Tokyo Electron is higher by more than 1 percent. Among automakers, Honda is up 0.3 percent, while Toyota is lower by 0.4 percent.

In the oil sector, Japan Petroleum is adding 0.5 percent, while Inpex is edging down 0.1 percent after crude oil prices rose overnight.

Among the major gainers, M3 and Screen Holdings are rising more than 3 percent each, while Nissan Chemical and Yamato Holdings are higher by almost 3 percent each.

On the flip side, J Front Retailing is losing 4 percent, Takashimaya Co. is lower by 3 percent and Tokyu Fudosan is declining more than 2 percent.

In the currency market, the U.S. dollar is trading in the mid 107 yen-range on Friday.

On Wall Street, stocks rose on Thursday after the Labor Department report showed that non-farm payroll employment skyrocketed by 4.8 million jobs in June after soaring by an upwardly revised 2.7 million jobs in May. The data initially added to optimism about an economic recovery, although a number of economists pointed out that the employment numbers are still well below pre-pandemic levels. Concerns about the recent surge in new coronavirus cases contributed to a late-day pullback.

The Dow rose 92.39 points or 0.4 percent to 25,827.36, the Nasdaq advanced 53.00 points or 0.5 percent to 10,207.63 and the S&P 500 climbed 14.15 points or 0.5 percent to 3,130.01.

The major European markets also showed strong moves to the upside on Thursday. While the U.K.'s FTSE 100 Index jumped by 1.3 percent, the French CAC 40 Index and the German DAX Index surged up by 2.5 percent and 2.8 percent, respectively.

Crude oil prices climbed on Thursday, with stronger than expected jobs data and optimism about a potential coronavirus vaccine triggering hopes that energy demand will pick up soon. WTI crude for August rose $0.83 or about 2.1 percent at $40.65 a barrel, the highest close for a front- month contract in four months.

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