TOKYO: Japanese shares rose, driving the Nikkei 225 Stock Average to its highest close in three months, as builders, communication companies and consumer lenders led gains.
The Nikkei 225 added 0.5 percent to 19,944.41, closing in Tokyo at its highest level since Aug. 20. Volume on the gauge was 14 percent lower than the 30-day average. The broader Topix index climbed 0.5 percent to 1,602.32 as all but five of its 33 industry groups advanced.
Trading was light amid “a lack of catalysts,” said Yusuke Kuwayama, a portfolio manager at Tokio Marine & Nichido Fire Insurance Co. in Tokyo. “The next big driver will be the December rate hike in the U.S. Investors want to see how the U.S. stock market performs after that.”
Global stocks have rallied from a two-year low reached in September as investors became more comfortable with the idea of higher U.S. borrowing costs. Bets the Federal Reserve will end a seven-year period of near-zero interest rates when it meets next month remain above 70 percent amid expectations the European Central Bank will go the other way, by expanding its asset purchases. Data on U.S. durable goods orders on Wednesday rounded out a picture of stabilization in manufacturing, even as consumer spending rose less than forecast.
