Nikkei rises as shares seen linked to $550 billion US deal jump

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By Junko Fujita Japan's Nikkei share average snapped a four-day losing streak on Wednesday, as shares of companies seen involved in the country's pledge to invest $550 billion in U.S. projects jumped. The Nikkei TVC:NI225 rose 1.02% to close at 57,143.84. The broader Topix TSE:TOPIX climbed 1.21% to 3,807.25. U.S. President Donald Trump's administration on Tuesday announced three projects valued at $36 billion to be financed by Japan, including an oil export facility in Texas, an industrial diamonds plant in Georgia, and a natural gas power plant in Ohio.The projects are the first investments under Japan's U.S. investment pledge as part of a trade deal that cut tariffs on Japanese imports to 15%.Japan's trade minister Ryohei Akazawa said companies such as Mitsubishi Electric TSE:6503, and ceramics makers Noritake TSE:5331 and Asahi Diamond TSE:6140 are interested in the projects.Mitsubishi Electric rose 2.89%, while Noritake jumped 6% and Asahi Diamond surged 9%."The project would be one of the first of Prime Minister Sanae Takaichi's plans to bring growth to Japan," said Hiroyuki Ueno, chief strategist at Sumitomo Mitsui Trust Asset Management.Takaichi on Wednesday was reelected as Japan's prime minister in a parliamentary vote following her Liberal Democratic Party's landslide win at the lower house election this month.Other companies that may be part of the project rose, with electronic components maker TDK TSE:6762 jumping 6.73%. Fibre optic cable makers Fujikura TSE:5803 and Furukawa Electric TSE:5801 rose about 4% each.Financial stocks rose, becoming the largest contributor to the Topix's gain. Mitsubishi UFJ Financial Group TSE:8306 and Sumitomo Mitsui Financial Group TSE:8316 rose more than 2% each.High-flying memory chip maker Kioxia TSE:285A fell 4.25% after a 5.7% drop in U.S. memory chip maker Sandisk NASDAQ:SNDK overnight. Of more than 1,600 stocks trading on the Tokyo Stock Exchange's prime market, 74% rose, and 22% fell, while 3% traded flat.

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