By Tomo Uetake
SYDNEY, Oct 11 (Reuters) - Japanese shares rose to their
highest level in over a week on Friday as the safe-haven yen
eased on hopes of progress in U.S.-China trade talks.
Sentiment was also buoyed by a sharp jump in Seven & I
Holdings, the country's largest convenience store operator,
after it announced a massive restructuring plan.
The benchmark Nikkei average .N225 ended up 1.2% at
21,798.87 points, its highest closing since Oct. 2. For the
week, it was up 1.8%, its first gain in three weeks.
The broader Topix .TOPX added 0.9% to 1,595.27, also
marking its highest close in 1-1/2-weeks.
Top U.S. and Chinese negotiators wrapped up a first day of
trade talks in more than two months on Thursday, as business
groups expressed optimism the two sides might be able to
de-escalate a trade war and delay a U.S. tariff hike scheduled
for next week.
U.S. President Donald Trump told reporters that his team had
a "very, very good negotiation" with China, and reiterated his
plans to meet with Liu at the White House on Friday.
Disruptions to global supply chains caused by the trade
dispute, and the resulting drag on global demand, have weighed
heavily on other export-reliant Asian economies such as Japan's.
Improved risk appetite pushed the safe-haven yen JPY=
lower to 108.13 per dollar, its weakest since Oct. 1, provided a
tailwind for Japanese exporters.
Toyota Motor 7203.T rose 2.3% and Mitsubishi Motor
7211.T 2.2% gained, while Panasonic 6752.T firmed 1.9%.
As the retail sector's June-August earnings season got under
way in Japan, notable movers include Seven & I Holdings and Fast
Retailing.
Seven & I 3382.T jumped 4.9% to its highest since late
March after the convenience store operator announcing
restructuring plans, including job cuts and store closures.
Nikkei-heavyweight Fast Retailing Co 9983.T climbed 2.6%
as the operator of Uniqlo chain booked a record annual profit
for a third consecutive year on strong sales in China and
forecast further growth in the current business year through
August. Bucking the trend, Yaskawa Electric Corp 6506.T , a
bellwether for manufacturing trends, dropped 0.7% after the
motor and factory-robot maker slashed its full-year operating
profit forecast. Despite rising optimism about the U.S.-China trade talks,
traders are reluctant to take positions ahead of the conclusion
of the latest negotiations and a long weekend, market players
said.
Financial markets in Japan will be closed on Monday for a
public holiday.