Tokyo stocks sharply rebounded on Thursday, driving a key index to renew its highest closing level in 53 months on growing expectations for further monetary easing by the central bank.
The benchmark Nikkei 225 Stock Average on the Tokyo Stock Exchange (TSE) rose 141.53 points, or 1.16 percent, from Wednesday to 12,381.19, its highest level since Sept. 9, 2008, about a week before Lehman Brothers' collapse. The broader Tokyo Stock Price Index, which includes all First Section issues on the TSE, gained 6.75 points, or 0.65 percent, to 1,038.17, led by real estate, warehouse and securities issues.
Investor sentiment was brightened after the lower house approved the government's nominees for the Bank of Japan governor and two deputy governors. The three candidates, who are regarded as a supporter of Prime Minister Shinzo Abe's aggressive monetary easing policies, are also expected to be accepted by the opposition-controlled upper house on Friday.
In the currency markets, at 4:30 p.m. (0730 GMT), the dollar fetched JPY 96.
14-18 against JPY 96.07-17 in New York and JPY 95.48-49 in Tokyo at 5 p.m. Wednesday.