The Nikkei 225 Index jumped 1.2% to above 50,100 while the broader Topix Index added 0.7% to 3,380 on Thursday, extending gains from the previous session and taking cues from a strong lead on Wall Street amid bets on further Federal Reserve interest rate cuts.
US stocks rallied for a fourth straight session overnight as markets now price in over an 80% chance that the Fed will cut rates by 25 basis points next month and three more by the end of 2026.
In Japan, Prime Minister Sanae Takaichi’s government is reportedly planning to issue at least 11.5 trillion yen in additional bonds to fund its economic package.
Technology names led the advance, with SoftBank Group, Kioxia Holdings, Fujikura, Advantest and Lasertec climbing between 1.2% and 4.6%.
Gains also spread across financial, consumer and resource-related shares.
AloJapan.com