Tokyo stocks open higher, rebounding from rout

Tokyo stocks opened higher on Tuesday as investors bargain-hunted following sharp falls in the previous session on fears over an economic slowdown.

The benchmark Nikkei 225 index was up 0.54 percent, or 143.40 points, at 26,574.95 in early trade, while the broader Topix index edged up 0.40 percent, or 7.47 points, to 1,871.75.

“Japanese shares are seen rebounding after (total) declines of more than 1,200 yen in the previous three sessions,” said Toshiyuki Kanayama, senior market analyst of Monex.

Some investors were seeking dividend payments, Mizuho Securities said.

Wall Street stocks fell again overnight as recession fears brought volatility to financial markets, pushing the pound to an all-time low against the greenback and pressuring oil prices.

The dollar fetched 144.42 yen in early Asian trade, against 144.72 yen in New York.

Looking ahead, investors are closely watching US indicators including consumer confidence and new home sales data due later in the day, analysts said.

Toyota was up 1.48 percent at 1,992 yen, Hitachi was up 0.54 percent at 6,337 yen, and chip-testing equipment maker Advantest was up 1.27 percent at 7,150 yen.

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