Japanese Stocks Rise on Intel Forecast; Shippers Gain on Fees

By Masaki Kondo and Toshiro Hasegawa

July 15 (Bloomberg) -- Japanese stocks rose after Intel Corp.’s sales forecast exceeded analysts’ projections, raising expectations technology earnings will improve. Shipping lines gained after bulk cargo rates rose for the first time this month.

Advantest Corp., the world’s biggest maker of memory-chip testers, jumped 1.8 percent. Kawasaki Kisen Kaisha Ltd., Japan’s No. 3 shipping line, added 1.2 percent. Mitsubishi Corp., which gets about half its revenue from resources, gained 1.7 percent after metals prices climbed. Canon Inc., which gets a third of its sales from the Americas, climbed 1.3 percent after U.S. retail spending rose more than expected.

The Nikkei 225 Stock Average climbed 36.60, or 0.4 percent, to 9,298.41 as of 9:05 a.m. in Tokyo. The broader Topix index rose 3.40, or 0.4 percent, to 871.97.

Intel’s forecasts “indicate company earnings here won’t be as bad as some fear and investors will likely react favorably to the reports,” said Hiroichi Nishi, an equities manager at Tokyo-based Nikko Cordial Securities Inc.

Intel, the world’s largest chipmaker, forecast sales will reach as much as $8.9 billion in the current quarter, surpassing the $7.86 billion estimated by analysts.

The Baltic Dry Index rose 4.1 percent yesterday, its first advance since June 30. A gauge of six metals in London gained 3.4 percent. Copper futures added 3.4 percent in New York.

In New York, the Standard & Poor’s 500 Index added 0.5 percent after a Commerce Department report showed retail sales advanced 0.6 percent last month from May, exceeding the 0.4 percent gain projected by economists. Company earnings reports also lifted the market as they indicated the global economy is stabilizing.

To contact the reporter for this story: Masaki Kondo in Tokyo at mkondo3@bloomberg.net; Toshiro Hasegawa in Tokyo at thasegawa6@bloomberg.net.