TOKYO: Tokyo shares have closed 0.95 per cent higher thanks to a weaker yen, a jump on Wall Street driven by upbeat US jobs data, and hopes for a resolution to Greece’s debt crisis.
The Nikkei 225 index at the Tokyo Stock Exchange on Thursday gained 193.18 points to 20,522.50 by the close, while the Topix index of all first-section shares rose 0.72 per cent, or 11.83 points, to 1,648.24.
Tokyo picked up a strong lead from US markets, which rallied after a gauge of US manufacturing activity for June came in at its highest level in five months, while a survey of private job creation marked its strongest reading this year.
Investors are now turning their focus to non-farm payrolls later on Thursday, which is expected to supply more evidence that the world’s top economy is gaining strength.
On Wall Street, the Dow rose 0.79 per cent, the S&P 500 was up 0.69 per cent and the Nasdaq tacked on 0.53 per cent.
The figures will also firm expectations that the Federal Reserve will raise interest rates, possibly in September, pushing the US dollar up against the yen.
The greenback rose to Y123.38, from Y123.15 in New York, and well up from the Y122.48 in Tokyo earlier on Wednesday.
“Just as the Federal Reserve expected, as we head towards higher interest rates the economic mood is recovering,” said Mitsushige Akino, executive officer at Ichiyoshi Asset Management in Tokyo.
