Tokyo investors focus on Greek bailout vote

TOKYO: Greece´s weekend bailout referendum will be the key trading cue for Tokyo investors next week with analysts saying the country will likely choose austerity -- and staying in the eurozone.
Japan will be among the first major stock markets to react to Sunday´s crucial vote that asks voters whether or not they accept tough conditions in a bailout proposal from creditors in exchange for a badly needed cash.
European leaders have warned that it will be effectively an in-out vote on its future in the 19-nation eurozone.
Prime Minister Alexis Tsipras is urging Greeks to reject the bailout terms, but opinion polls show voters are leaning toward a "yes" vote after Athens ushered in capital controls limiting withdrawals from its cash-strapped banks. The move followed months of fruitless negotiations between the government and creditors. "We expect that the referendum will see voters accept fiscal austerity measures, which will likely prompt buying in US and Japanese markets," Daiwa Securities said in a commentary. On Friday, the Japanese market ended slightly higher, clawing back early losses following a mixed US jobs report.
The Nikkei-225 index at the Tokyo Stock Exchange added 0.08 percent, or 17.29 points, to close at 20,539.79. It was down 0.80 percent over the week.
The broader Topix index of all first-section shares added 0.23 percent, or 3.85 points, to finish at 1,652.09 on Friday. It declined 0.90 percent this week.
However, the indices are both up about 17 percent for the first half of the year. In share trading, market heavyweight Fast Retailing dropped 3.68 percent to 55,740 yen after reporting lower sales last month at its Uniqlo stores.
Mobile carrier SoftBank rose 0.18 percent to 7,165 yen, Mitsubishi UFJ Financial Group gained 1.20 percent to 903.5 yen, while Toyota edged up 0.35 percent to 8,182 yen.