Japanese stocks rose for the second straight day

Japanese stocks rose for the second straight day, lifting the Nikkei 225 Stock Average by more than two weeks after U.S. economic reports and speculation Europe's crisis of debt include increased confidence in a global recovery.

Canon Inc., which is the world's largest maker of camera and gets more than 80 percent of its sales abroad, rose 2.5 percent as the dollar strengthened against the yen after U.S. payrolls. UU. and manufacturing rose last month. Mitsubishi Corp., the largest merchandise trader in Japan, rose 1.3 percent in oil prices and metal increases. Nomura Holdings Inc. led brokerages higher in operating profit outlook swelling.

"The macro-economy is improving quite well," said Seiichiro Iwamoto, who helps oversee $ 35 billion in Tokyo at Mizuho Asset Management Co. "The stability of the currency market, after the growth of manufacturing is to support the stock market Japanese. "

The Nikkei 225 rose 1.8 percent to 10,168.52 at 3 pm in Tokyo, the biggest increase since November 18 and the highest close since June 21. The broader Topix index rose 1.3 percent to 877.21, with more than five promotional activities for each one that fell.

The Topix has fallen 3.3 percent this year, compared with gains of 8.2 percent in 500 of Standard & Poor's in the U.S. and 5.2 percent in the Stoxx Europe 600 index. Shares in the Japanese benchmark is valued at 15.2 times estimated earnings on average, compared with 14.2 times for the S & P 500 and 11.9 times for the Stoxx 600.

"Sign of Optimism"

Japanese capital spending excluding software, rose by 4.8 percent in the three months ended September 30 last year, the Finance Ministry said today. While less than 6 percent median estimate of five economists surveyed by us, which was the first increase since the quarter ending March 2007.

"The market is having a positive outcome," Iwamoto said Mizuho Asset Management. "Finally there was a sign of optimism in Japan's capital spending."

Canon rose 2.5 percent to 4,050 yen and was the largest single support for the Topix. Honda Motor Co., automaker of Japan's second largest by sales, increased 1.8 percent to 3.135 yen. Advantest Corp., the world's largest maker of chip testing equipment, jumped 5.4 percent to 1,791 yen, the highest since July.

The S & P 500 rose yesterday in New York by 2.2 percent, the most since September 1. A report from ADP Employer Services showed companies added 93,000 workers in November, more than the 70,000 expected by economists, based on the median of estimates compiled by us, the Institute for Supply Management said its factory index, a gauge of manufacturing held close to a maximum of five months.

Economic Recovery

"An economic recovery in the U.S. is likely to precede the recovery in Japan," said Hitoshi Itagaki, president of Principal Global Investors (Japan) Ltd., which manages about 150 billion yen.

The dollar rose to 84.40 yen in Tokyo last night, near the highest since Sept. 27. A stronger dollar increases the value of U.S. income Japanese companies when converted into local currency.

The Stoxx Europe 600 index rose 2 percent yesterday, the most since Sept. 1 amid speculation the European Central policymakers Bank can strengthen measures to contain the crisis in the region by government debt.

"We are seeing promising signs of the economy and improved market sentiment worldwide," said Mitsushige Akino, who oversees about $ 450 million in assets in Tokyo at Ichiyoshi Investment Management Co. "improved market sentiment should boost the flow of money in risky assets. "

Brokers, traders Advance

Brokers had the second largest gain among Topix groups of industry speculation in prices of 33 stocks rising increase business revenue and profits.

Nomura Holdings, Japan's largest brokerage, rose 2.7 percent to 491 yen. Daiwa Securities Group Inc., the No. 2, rose 2.9 percent to 389 yen. SBI Holdings Inc. jumped 3.2 percent to 11,700 yen.

"If the market volume increases, gains in brokerage firms and insurance companies should increase," Iwamoto said.

Mitsubishi rose 1.3 percent to 2.162 yen, the highest close since April 30. Mitsui & Co., with products as your main source of profit, gained 1.2 percent to 1.334 yen. Itochu Corp. advanced 2.9 percent to 809 yen.

Crude oil for January delivery rose 3.1 percent to $ 86.75 a barrel in New York yesterday, the highest closing price since Nov. 11. The London Metal Exchange Price Index of six industrial metals like copper and aluminum rose 2.6 percent yesterday, the most since November 4.

Yahoo Japan Corp., the operator of Japanese Internet portal's most visited, rose 2.1 percent to 31.300 yen after the Nikkei newspaper said Japan Fair Trade Commission approved a partnership between U.S. company and Google, the Internet more world popular search engines.

Sega Sammy Holdings Inc., a maker of video games and pachinko machines, rose 5.6 percent to 1.529 yen, the highest in over three years. The company outlined plans to repurchase up to 5.3 percent of its shares and cancel 6 percent.