Japan Shares Flat In Wait-and-see Trading

YURI KAGEYAMA

TOKYO (AP) — Japanese stock markets stayed flat Wednesday amid a prevalent wait-and-see attitude ahead of key earnings reports from banks.

The benchmark Nikkei 225 stock average inched up 0.95 point, or 0.01 percent, to 9,871.68.

The market largely shrugged off positive data on Japan's machinery orders and robust growth in neighboring China, offset by some negatives, including a moderately strengthening yen and worries about recovery in the world's second largest economy.

"There is no reason to sell or buy, and everyone is just looking and waiting," said Kiichi Fujita, strategist at Nomura Securities Co. in Tokyo, adding that investors were waiting major banks' earnings.

Mizuho Financial Group and Sumitomo Mitsui Financial Group are set to give fiscal first half earnings Friday, and Mitsubishi UFJ Financial Group next Wednesday.

In Tokyo trading, Mizuho was unchanged at 178 yen, Sumitomo Mitsui added nearly 1 percent to 3,200 yen, and Mitsubishi UFJ cost 510 yen, up 1.4 percent.

Data for core machinery orders, a closely watched indicator of corporate capital spending, jumped 10.5 percent in September, beating forecasts and rising for the second month in a row.

In China, data showed a recovery firmly on track, with retail sales surging 16.2 percent in October from the same month last year, and industrial output climbing 16.1 percent.

But any euphoria from such data quickly wore off in lackluster trading.

In currencies, the dollar was trading at 89.90 yen, up from 89.81 yen.