(Adds stocks, details)
By Elaine Lies
TOKYO, Jan 31 (Reuters) - Japanese stocks rose almost 2 percent on Thursday,
buoyed by short-covering in Toyota Motor Co (7203.T: Quote, Profile, Research) and other blue-chip
exporters, while banks erased nearly all their early losses as subprime fears
eased slightly.
Investors sought out companies posting good earnings results regardless of
sector, with Terumo Corp (4543.T: Quote, Profile, Research), Yahoo Japan Corp (4689.T: Quote, Profile, Research) and systems
integrator NTT Data Corp (9613.T: Quote, Profile, Research) all surging on positive results and ratings
upgrades.
But subprime issues continued to overshadow the Japanese company news, with
market participants saying the problems still remained a deep concern despite
the prospect of relief for one troubled U.S. bond insurer.
MBIA Inc (MBI.N: Quote, Profile, Research) said private-equity firm Warburg Pincus completed a $500
million investment in the bond insurer, reassuring investors spooked by tumbling
bank shares on Wall Street on worries about a downgrade of bond insurers due to
subprime losses.
“Though the MBIA news has reassured the market, the longer-term situation is
still dangerous. Having these companies raise funds is one thing, but getting
funds from other companies or elsewhere is better — but needs to be done
quickly,” said Takashi Ushio, head of the investment strategy division at
Marusan Securities.
