Tokyo’s Nikkei closes up nearly 1.5% on tech rallies

Tokyo’s benchmark Nikkei index jumped nearly 1.5 percent on Thursday, led by rallies in tech stocks following gains on the US Nasdaq index.

The Nikkei 225 rose 1.46 percent, or 410.65 points, to close at 28,550.93, while the broader Topix index was up 0.67 percent, or 13.14 points, at 1,986.97.

“Tech shares led today’s gain following a rise in the Nasdaq,” said Shinichi Yamamoto, a broker at Okasan Securities.

On Wall Street, the tech-rich Nasdaq led the major indices, climbing 0.7 percent on Wednesday.

“Investors are increasingly focusing on corporate results as the earnings season gets into full swing later this month,” Yamamoto told AFP.

Japan’s new Prime Minister Fumio Kishida dissolved the lower house on Thursday afternoon ahead of general elections on October 31.

“The political news did not affect the market today,” Yamamoto said.

“But it’s not a negative factor from now, as politicians often unveil good news for the market ahead of elections.” The dollar fetched 113.56 yen in Asian afternoon trade, against 113.25 yen in New York late Wednesday.

In Tokyo, tech and semiconductor-related shares gained ground. Tokyo Electron, which makes tools to build semiconductors, soared 5.18 percent to 48,120 yen with industrial robot maker Fanuc up 2.29 percent at 23,220 yen.