Nikkei gains as ECB comments trigger short-covering


28/07/2012 14:17 AST  Reuters

Japan's shippers, steelmakers and automakers made strong showings as the Nikkei share average rose on Friday in a rally built on short-covering triggered by comments from the European Central Bank's chief that supported a euro.

Exporters such as Mazda Motor Co, which leapt 5.7 percent, were boosted as the yen eased against the euro after ECB President Mario Draghi said that the bank would do whatever it could to save the euro, sparking hopes that it could take drastic action at its policy meeting next week. Earlier in the week the euro fell to a 11-1/2 year low against the yen.

The Nikkei rose 1.5 percent to 8,566.64, stepping back above its 5-day moving average but still well short of its 14-day moving average at 8,669.21.

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