TOKYO: Tokyo shares rose Wednesday morning, lifted by an ongoing global rally as robust US corporate earnings brightened sentiment.
Big industrial names like Caterpillar and McDonald’s turned in solid performances, boosting Wall Street.
World markets have also pushed higher after centrist French presidential candidate Emmanuel Macron came out on top of the first round of a key election seen as a crucial test for the future of a European Union besieged by rising populism.
The dollar’s steady surge has also encouraged the Tokyo market by making shares in Japanese exporters more attractive.
Tokyo’s benchmark Nikkei 225 index gained 0.80 percent, or 152.59 points, to 19,231.92 by the lunch break. The Topix index of all first-section issues added 0.89 percent, or 13.52 points, to 1,532.73.
“Japanese shares are likely to test their upside as investors welcome gains on Wall Street while the yen drifted lower against the dollar to the 111-yen level,” Okasan Online Securities said in commentary.
The Nasdaq advanced 0.7 percent to finish at 6,025.49, shooting above 6,000 for the first time, while the Dow Jones Industrial average closed up 1.1 percent. The S&P 500 rose 0.6 percent.
In currencies, the dollar changed hands at 111.24 yen in Tokyo, edging up from 111.12 yen in New York.
Rising hopes for US President Donald Trump’s tax cut plan, even if it might fall short on substance, were helping to drive the market, analysts said.
Also boosting sentiment was a waning sense of crisis surrounding North Korea, analysts said.
