Japan Stocks Rise, Reversing Loss; Takeda Leads Drugmaker Gain

By Masaki Kondo

Oct. 15 (Bloomberg) -- Most Japan stocks rose, reversing an early decline, led by drugmakers as investors sought companies whose earnings are resilient against an economic slowdown.

Takeda Pharmaceutical Co., Japan's largest drugmaker, advanced 6.2 percent, while rival Eisai Co. gained 4.7 percent. Nippon Yusen K.K., Japan's biggest shipping line, dropped 6 percent after transport fees for commodities fell to a three-year low and UBS AG cut its share-price target.

The Nikkei 225 Stock Average rose 99.90, or 1.1 percent, to 9,547.47, reversing from a 1.9 percent decline. The broader Topix index slipped 0.79, or 0.1 percent, to 955.51. About eight stocks climbed for every seven that retreated on the Topix.

Yesterday, the Nikkei and Topix both rose 14 percent, their steepest rallies ever, on optimism a U.S. bank rescue will avert the collapse of global financial markets. Nine U.S. banks will get a total of $125 billion, according to people briefed on the matter, while France, Germany, Spain, the Netherlands and Austria committed $1.8 trillion to guarantee bank loans and acquire stakes in financial companies.

To contact the reporter for this story: Masaki Kondo in Tokyo at mkondo3@bloomberg.net.