Nikkei may slip after US stocks but tight range seen
TOKYO, June 19 (Reuters) An overnight fall in U.S. stocks may weigh on Japanese stocks a little on Tuesday after three straight sessions of gains, but exporters such as Kyocera Corp.
could keep climbing on a softer yen.
Separately, another focus in the market may be Canon Inc.
The Nikkei business daily reported on Tuesday that Canon will likely book a 19 percent rise in net profit from a year earlier in the first half ending June 30, boosted by strong demand for multifunction colour copiers and digital cameras as well as a softer yen.
''The Nikkei is likely to move in a very narrow range around the 18,000 level, cementing its recent gains, as overseas stocks fell on profit-taking and after the index rose sharply yesterday,'' said Norihiro Fujito, a general manager at Mitsubishi UFJ Securities' investment research and information division.
''But in a long-term, the Nikkei is in a position to advance as U.S. interest rates are stabilising.'' Fujito said that after Tuesday's session, the Nikkei will likely try for its year-high of 18,300.39 logged in February.
Nikkei futures point to a slight fall in share prices.
Contracts traded in Chicago finished the previous session at 18,230, down 30 points from the close in Osaka.
The benchmark Nikkei average rose 0.99 percent on Monday to close at 18,149.52, the highest close since Feb. 26.
In New York on Monday, the dollar hit a fresh four-and-a-half-year high above 123.70 yen for the fourth straight session.
A weaker yen is a boon to companies that make the bulk of their sales abroad because it boosts profits when earnings from abroad are brought home.
U.S. stocks slipped on Monday with the Dow Jones industrial average down 0.19 percent at 13,612.98.
STOCKS TO WATCH -- Kawasaki Heavy Industries Ltd.
Kawasaki Heavy plans to partner with leading marine transporter China Ocean Shipping Co., or Cosco, to build in Dalian what would be one of the largest shipbuilding facilities in China, the Nikkei business daily reported on Tuesday.
-- Tokyo Broadcasting System Inc. (TBS) Tokyo-based real estate firm EM Planning, owned by shoe retailer ABC-Mart Inc. Chairman Masaharu Miki, reduced its stake in TBS to 3.35 percent from 9.92 percent, EM Planning's report to the Finance Ministry showed on Monday.
Separately, the Nikkei business daily reported on Tuesday that TBS appears to have secured the more than 50 percent of voting rights needed to get an anti-takeover defence measure approved at its general shareholders meeting on June 28.
TBS is in a proxy battle with Rakuten Inc., which plans to put forward its own proposals for takeover defence measures and director appointments.
-- Canon Inc.
Canon will likely post a 19 percent rise in group net profit of 255 billion yen for the six months to June 30, reflecting strong demand for colour copiers and digital cameras as well as a soft yen, the Nikkei business daily said on Tuesday.
That would beat Canon's forecast by 5 billion yen, the newspaper said.
-- Mitsubishi Corp.
Mitsubishi Corp. said on Monday it and Murchison Metals Ltd.
of Australia will jointly spend more than A$3 billion ($2.5 billion) to develop iron ore mines in Australia in what would be one of Mitsubishi's biggest investments abroad.
-- Sansei Foods Co. Ltd.
Cadbury Schweppes Plc will launch a $111 million friendly takeover bid for small Japanese candy maker Sansei Foods Co. Ltd.
to help it expand in the world's fourth-biggest market for sweets.
-- Taiheiyo Cement Corp.
Japan's largest cement maker announced on Monday that it was in talks to buy a U.S.-based producer of ready mixed concrete to help expand its business in the U.S.
REUTERS KN BST0518