Tokyo stocks close up 1.48pc
October 11, 2013 - 9:15:44 am
TOKYO: Tokyo stocks rose 1.48 percent Friday on growing optimism that talks between President Barack Obama and Republicans will finally break a US budget deadlock that threatens to spark a catastrophic debt default.
The benchmark Nikkei 225 index climbed 210.03 points to 14,404.74, while the Topix index of all first-section shares was up 1.63 percent, or 19.22 points, to 1,197.17.
Wall Street on Thursday enjoyed its best advance since the start of the year after Republicans proposed a six-week rise in the country's borrowing limit that would allow Washington to pay its bills and avoid default.
The Dow soared 2.18 percent to 15,126.07, just below its level on the eve of the October 1 shutdown.
"It appears that politicians are inching closer to a temporary resolution, which is helping relieve uncertainty and concerns about a US default," Credit Agricole said.
Improving investor sentiment helped the dollar rise to 98.43 yen in Tokyo from 97.91 yen in New York late Thursday.
A weaker yen tends to lift shares of Japanese exporters as it makes them more competitive overseas and inflates the value of their repatriated foreign income.
NEC rose 1.78 percent to 228 yen on news it would sell an Internet subsidiary as it overhauls its business to deal with mounting losses.
Toyota rose 0.94 percent to 6,410 yen after a US jury cleared the automaker of liability for a 2009 fatal accident involving unintended acceleration.
Industrial robotics giant Fanuc jumped 4.49 percent to 16,730 yen owing to the weaker yen and signs of stronger capital investment spending.
And Uniqlo operator Fast Retailing fell 3.18 percent to 33,450 yen, a day after it reported record profit and sales for the fiscal year to August but warned earnings growth would slow in the current business year.
Financial markets in Japan will be closed Monday for a public holiday. (AFP)