Nikkei Hits 15-Year High On Earnings, Shareholder Returns Hopes

By  Reuters on March 16 2015 12:15 AM EDT

A man stands next to a stock quotation board displaying Japan's Nikkei average at the Tokyo Stock Exchange in Tokyo December 30, 2014. REUTERS/YUYA SHINO

(Reuters) - Japanese stocks edged up to hit a 15-year high on Monday, with financial and real estate companies leading the gains, as investors bet on steady improvement in the Japanese economy and increased shareholder returns.
The Nikkei share average rose 0.3 percent to 19,309.23, hitting a 15-year intraday high at one point and extending its gain so far this year to almost 11 percent, outpacing many other markets.
"The market has been experiencing the best earnings estimate revisions of all the major markets. And I expect robust earnings growth to continue for the next
18-24 months," said Tristan Hanson, head of asset allocation at Ashburton Investments in London.
Domestic demand-oriented shares, such as banks and real estate companies shone on Monday, as Japan is seen as one of the biggest beneficiaries of weak oil prices, with the country's net oil imports at 4.2 percent - the highest ratio among major developed countries.
Bank shares gained 1.6 percent, the top performer among the Tokyo Stock Exchange's 33 industry subindex. Mitsubishi UFJ Financial Group rose 2.0 percent and Sumitomo Mitsui Financial Group climbed 2.3 percent.