Tokyo---Tokyo stocks rose 0.68 percent Tuesday, with the benchmark index back above 20,000 thanks to a weaker yen and record-setting advances on Wall Street.
The Nikkei 225 at the Tokyo Stock Exchange climbed 136.11 points to 20,026.38, ending above the psychologically important mark for the first time in three weeks.
The Topix index of all first-section shares added 0.41 percent, or 6.67 points, to 1,633.33, levels not seen since the end of 2007.
"The impact from a weaker yen, cheaper oil and rising wages points to better earnings this fiscal year than the last," Toshihiko Matsuno, chief strategist at SMBC Friend Securities, told Bloomberg News.
"On top of being in an environment where it's easier for Japanese companies to churn out a profit, we're seeing firms embrace the idea of returning more cash to shareholders. From a global investor's perspective, Japanese stocks are looking very attractive."
A weaker yen inflates the value of exporters' repatriated income, and in turn boosts their bottom line in yen terms.
Tokyo got a strong lead from New York where the Dow and S&P 500 rallied following acquisitions in the pharmaceutical and apparel sectors and a rise in Apple.
The Dow rose 0.14 percent and the S&P 500 notched its third successive record, rising 0.30 percent. The Nasdaq Composite Index jumped 0.60 percent to 5,078.44.
On currency markets, the dollar was quoted at 119.97 yen, virtually unchanged from New York but well up from 119.63 yen in Tokyo earlier Monday.
Toyota shares were up 0.14 percent to 8,364 yen, Sony added 1.46 percent to 3,957 while market heavyweight Fast Retailing, which operates the Uniqlo clothing chain, added 1.98 percent to close at 50,010 yen.
NEC rose 1.24 percent to 408 yen while Fujitsu lost 1.47 percent to end at 669.6 yen after Japan's financial regulator raided their offices over an alleged antitrust case.
AFP
