Wheat prices have risen 58% this year as bad weather affected output in producing countries, lowering global stockpiles to decline to a 32-year low.

The yen traded firmer against the dollar at 114.64 from 114.67 and 166.52 from 166.54 against the euro.

Of the Nikkei index stocks, Toppan Printing led the gainers with a rise of 9.15%, followed by rises in Clarion Company Limited of 8.38%, in GS Yuasa Corp of 7.85%, in Furukawa Company Limited of 4.71% and Yokogawa Electric of 4.10%.

Financial stocks also gained, buoyed by consumer lenders after Goldman Sachs raised the rating of Acom from “sell” to “buy” and Takefuji to “buy” from “neural”. Last week, Nikkei News reported that consumer lenders might report profits for the first time in eighteen months in the first half of the year. Mitsubishi UFJ Financial Group, which holds 13% equity in Acom, rose 0.29%. Mizuho Financial Group also firmed 0.34%.

Fujikura Limited led decliners, falling 13.60%, followed by losses of 6.54% in Softbank Corporation, 4.14% in Daiichi Sankyo, 3.28% in Honda Motor Corporation and 3.18% in Chugai Pharmaceutical.

Chugai Pharmaceutical slumped after it reported that it would slash in half the winter supply of Tamiflu in Japan to meet demand for six million people.

Japan Airlines today raised its profits for the fiscal year 2008 ending in March by 37% to 48 billion yen compared to 35 billion yen, projected earlier. It maintained net income forecast at 11.5 billion yen. Net income for the quarter ended September fell 59% to 11.6 billion yen. The company is expected to save 50 billion yen this year through a staff reduction.

JAL is also under investigation by the anti trust division of the U.S. Department of Justice and European Union Commission for anti-competitive practices in the cargo industry.