Tokyo investors eye earnings, BoJ next week

TOKYO, Jan 17 (AFP): Tokyo investors will be eyeing corporate results next week as the Japanese earnings season gets under way, as well as a two-day Bank of Japan meeting.

Over the next few weeks, major firms from Sony and Toyota to Japan Airlines and Hitachi report their fiscal third-quarter numbers, with a sharply weaker yen likely to boost their bottom line.

A drop in the yen tends to lift the Nikkei-225 stock index as its makes Japanese exporters more competitive overseas and inflates repatriated profits.

"Players will continue to watch foreign exchange rates as a weak yen would likely prevent the Nikkei index from sliding further," said Kenzaburo Suwa, a strategist at Okasan Securities.

"They'll also pay attention to earnings results as another the season is about to begin," he added.

The Tokyo market was flat Friday, after losses on Wall Street fuelled by disappointing US corporate results.