Nikkei recovers from slide, rises more than 1 pc

Tokyo, Aug 8: The Nikkei average rose 1.29 per cent on Tuesday, trimming some of its losses from the previous session's 345-point slide, as shares of Toyota Motor Corp. gained on earnings confidence.

Even with a meeting of the U.S. Federal Reserve later in the day, investors were still betting that stock prices had dropped too much on Monday, when the Nikkei booked its worst one-day percentage decline in almost three weeks.

''I think you can say the market has fallen too far,'' said Hideyuki Suzuki, an investment information manager at SBI Securities.

However, further upside was likely to limited, Suzuki said.

''Today is not a day for bravery. Ahead of the Fed I think it will be hard for investors to build positions,'' he said.

The Nikkei was up 195.08 points at 15,349.14 as of 0116 GMT.

The broader TOPIX index was up 1.07 percent at 1,556.56.

Toyota, the world's most profitable auto maker, was up 1.8 percent at 6,140 yen, having fallen nearly 1 percent in the previous session.

Fanuc Ltd., a maker of industrial robots, rose 2.3 percent to 9,230 yen, recovering from its 2.2 percent loss in the previous session.

Aoki Holdings Inc., Japan's second-largest menswear retail chain, jumped 9.0 percent to 2,110 yen after the company said late on Monday it would launch a 4 million takeover offer for smaller rival Futata Co. to help it expand in southern Japan.

Reuters