Japan's Nikkei Futures Little Changed; Toyota Positive on U.S.

By Patrick Rial

Aug. 15 (Bloomberg) -- Japan stock futures were little changed in Chicago trading after Toyota Motor Corp. expressed confidence in the U.S. truck market, while banks took additional loss reserves stemming from Urban Corp.'s bankruptcy.

U.S.-traded receipts of Toyota, Japan's biggest automaker, added 0.8 percent from the closing share price in Tokyo yesterday after saying the outlook remains strong for the U.S. truck market. Sumitomo Mitsui Financial Group Inc. lost 0.1 percent. Shikoku Bank Ltd. lowered its profit forecast to reflect probable losses on loans to condominium builder Urban.

``Bankruptcies have taken a sudden jump here, and that makes it hard for developers and the banks that provide their funds to eke out any gains,'' Seiji Arai, a strategist at Mitsubishi UFJ Securities Co., said in an interview with Bloomberg Television.

Nikkei 225 Stock Average futures expiring in September closed in Chicago yesterday at 12,955, little changed from 12,950 earlier in Osaka and 12,960 in Singapore. The Bank of New York Japan ADR Index, which tracks the nation's American depositary receipts, lost 0.7 percent.

Japanese companies got a boost after Goldman Sachs Group Inc. said the U.S. dollar has bottomed, indicating exporters will generate higher profits on U.S. sales as the currency strengthens. The Baltic Dry Index of freight costs for commodities posted its biggest gain since January, improving the outlook for shippers including Mitsui O.S.K. Lines Ltd.

Yesterday, the Nikkei slipped 0.5 percent to 12,956.80 and the Topix index declined 0.6 percent to 1,238.93.

To contact the reporter for this story: Patrick Rial in Tokyo at prial@bloomberg.net.