Nikkei ends 1 pct higher as yen retreats; automakers surge

Japanese stocks rose on Tuesday as the yen began to retreat from the previous day’s 17-month high against the dollar, lifting shares of exporters as well as recently battered banks.

The Nikkei share average climbed 1.1 percent to 15,928.79.

Japan’s automakers, which rely heavily on overseas sales for profits, outperformed the index after the yen lost about 0.3 percent to the dollar by the end of trading. Honda Motor Co Ltd rose 3.8 percent while Nissan Motor Co Ltd climbed 3.3 percent and shares of Toyota Motor Corp gained 3.9 percent.

Shares of Nomura Holdings Inc soared 7.4 percent after reports that the brokerage planned to cut between 500 and 600 jobs, mainly in its European cash equities business.

Building materials company Lixil Group Corp bucked the strength in the broader market, ending 1 percent lower after revising its net profit forecast down to a net loss for the year ended March 31, 2016.

The broader Topix climbed 1.5 percent to end the day at 1,299.35 with all but five of its 33 subindexes in positive territory.

The JPX-Nikkei Index 400 rose 1.5 percent to 11,717.03.