Tokyo stocks were modestly higher on Thursday morning, tracking an overnight rise of the U.S. Dow Jones index, while a wait-and-see mood prevailed ahead of earnings reports from major Japanese companies.
The 225-issue Nikkei Stock Average rose 189.73 points, or 0.50 percent, from Wednesday to 38,392.10. The broader Topix index was up 20.62 points, or 0.76 percent, at 2,727.05.
The U.S. dollar moved narrowly around the mid-155 yen zone, supported by the likelihood the U.S.-Japan interest rate gap will remain wide, while caution persisted over a potential intervention by Japanese authorities to prop up the yen, dealers said.
At noon, the dollar fetched 155.59-61 yen compared with 155.52-62 yen in New York and 155.32-34 yen in Tokyo at 5 p.m. Wednesday.
The euro was quoted at $1.0746-0750 and 167.20-28 yen against $1.0743-0753 and 167.16-26 yen in New York and $1.0738-0739 and 166.79-83 yen in Tokyo late Wednesday afternoon.
Shares were bought after Wednesday's sharp fall but momentum was lacking as investors waited for company earnings reports for the fiscal year ended March and their outlook for the current business year, brokers said.
Among companies set to release earnings later in the day are Nissan Motor Co. and Nippon Steel Corp.
"Earnings forecasts have been notably conservative so far, making investors wary of active buying," said Masahiro Yamaguchi, head of investment research at SMBC Trust Bank.
