Please use symbol entry at top right of page to search

Japan's Nikkei track Wall Street higher; tech stocks lead gains

TOKYO, June 24 (Reuters) - Japanese shares rose on Friday as technology stocks tracked overnight gains on Wall Street, with sentiment aided by loose monetary policy in the country.

By 0210 GMT, the Nikkei share average was up 0.8% at 26,372.16. It is on course to post a 1.6% rise for the week, and down 3.28% for the month so far.

The broader Topix rose 0.35% to 1,858.16 - on track for a 1.23% weekly gain.

Overnight, Wall Street's main indexes posted solid gains, fuelled by strong performance from defensive and tech shares that outweighed declines for economically sensitive groups as worries persisted about a potential recession.

"Recent losses in domestic equities were driven by concerns about economic slowdown due to the Federal Reserve's tightening monetary policy but Japan's environment is different," said Shigetoshi Kamada, a general manager with Tachibana Securities' research department at .

"Japan's stock market is in a favourable position. But whether this situation will continue in the long term is questionable and it will depend on the direction of U.S. interest rates."

The Bank of Japan last week maintained ultra-low rates, going against overseas central banks' policy tightening, which is spurring worries about recession.

In Japan, chip-making equipment maker Tokyo Electron (TOELF) rose 3,76% and provided the biggest boost to the Nikkei. Air-conditioning maker Daikin Industries (DKILF) climbed 2.79%. Medical services platform M3 jumped 6.91%.

Drug maker Shionogi & Co (SGIOF) rose 4.51% after announcing a share buyback.

Automakers were weak, with Mitsubishi Motors (MMTOF) tanking 6.97% to become the worst performer on the Nikkei, and Subaru lost 4.04%.

Toyota Motor (TM) lost 1.36% and weighed on the Topix the most. (Reporting by Junko Fujita; editing by Uttaresh.V)

Copyright © Reuters 2008. All rights reserved. Republication or redistribution of Reuters content, including by caching, framing or similar means, is expressly prohibited without the prior written consent of Reuters. Reuters and the Reuters sphere logo are registered trademarks and trademarks of the Reuters group of companies around the world.

News, commentary and research reports are from third-party sources unaffiliated with Fidelity. Fidelity does not endorse or adopt their content. Fidelity makes no guarantees that information supplied is accurate, complete, or timely, and does not provide any warranties regarding results obtained from their use.