For more stories on the Japanese economy click [ID:nECONJP] Japan TOKYO July 1 Reuters – Japan’s top government spokesmansaid

(For more stories on the Japanese economy, click [ID:nECONJP]) Japan TOKYO, July 1 (Reuters) – Japan’s top government spokesmansaid on Wednesday the government should be more mindful of severeconditions facing the country’s smaller companies. ANA’s rival Japan Airlines 9205.T lost 1.1 percent to 184 yen.But selling pressure, augmented by dealers moving to lock in profits as the Nikkei edged back up toward 10,000, was countered by investor buying of a wide array of defensive shares, such as drugmakers, as well as chip shares such as Advantest Corp (6857.T), up after a supportive performance by U.S. peers.China’s PMI for June rose to 53.2 from 53.1 in May, the fourth straight month that the official PMI has stood above the pivotal 50 mark.As a result, Komatsu and Hitachi Construction (6305.T), which often rise with signs of brightening in China’s economy on expectations of building projects there, both rose.Komatsu gained 2.6 percent to 1,531 yen and Hitachi Construction rose 1.9 percent to 1,605 yen.Trade fell off slightly, with 968 million shares changing hands on the Tokyo exchange’s first section compared to last week’s morning average of 1.3 billion.Declining shares outnumbered advancing ones 769 to 745.(Reporting by Elaine Lies; Editing by Joseph Radford) Hot Stocks China Japan. Comerci defaulted in October after taking massive losses onextensive derivatives bets It has fought with creditors eversince. (Reporting by Jason Lange; Editing by MuralikumarAnantharaman) Stocks Bonds Mexico. TOKYO (Reuters) – Japan’s Nikkei stock average clawed up 0.1 percent on Wednesday in largely directionless trade, with Orix Corp (8591.T) and All Nippon Airways (9202.T) sliding on news of possible public share offerings.

“The restructuring process continues favorably,” Comercisaid. It did not provide details on the proposal, saying onlythat it was “similar” to its agreement in principle with keycreditors. Comerci said its legal actionagainst the firms — Merrill Lynch (BAC.N), Goldman Sachs(GS.N) and Barclays (BARC.L) — did not cancel its preliminarydeal with them. In a statement to the Mexican stock exchange late onTuesday, Comerci said it was studying the proposal it hadreceived from banks and holders of bonds issued in Mexico andthe United States. Comerci, as the company is known, said earlier this monthit had agreed in principle with most key creditors the terms torepay its debt, though a final deal had not been reached. The company also said it had filed countersuits in a NewYork court against several of its creditors, all of which werepart of the preliminary deal. (Adds legal action against creditors) Stocks  |  Bonds  |  Mexico MEXICO CITY, June 30 (Reuters) – Mexican retailer ComercialMexicana (COMEUBC.MX) said on Tuesday it received a proposalfrom creditors on how to restructure the company, whichdefaulted on its debt last year after getting slammed by theglobal credit crisis.

The Post said Jones made it clear during his visit to Afghanistan that it was a new era and Obama will not automatically give military commanders whatever force levels they request, a departure from the practice of the Bush administration in the Iraq war.(Editing by John O’Callaghan). military presence in Afghanistan to 68,000 troops by the end of this year, more than double the 32,000 at the end of 2008. Another 4,000 troops being deployed to train Afghan security forces are due to arrive by August The forces are part of a build-up that could expand the U.S. “We tried that for six years.” “The piece of the strategy that has to work in the next year is economic development. If that is not done right, there are not enough troops in the world to succeed.” An extra 17,000 troops Obama deployed to fight a growing Taliban-led insurgency in southern and western Afghanistan were expected to be on the ground by mid-July. military commanders there are no plans to send more troops to Afghanistan for now and that the focus instead will be on economic development and reconstruction, The Washington Post reported on Tuesday.