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Home / International Markets / Tokyo stocks surge 2.55% by midday, Nikkei 225 adds 428.11pts, Topix index climbs 2.52%
Tokyo stocks surge 2.55% by midday, Nikkei 225 adds 428.11pts, Topix index climbs 2.52%

Tokyo stocks surge 2.55% by midday, Nikkei 225 adds 428.11pts, Topix index climbs 2.52%

TOKYO: Tokyo stocks rose 2.25 percent on Thursday morning, getting momentum by the lower yen and strong rally on Wall Street after the US Federal Reserve pointed out interest rates would be climbed by middle of 2015.
The Nikkei 225 index at the Tokyo Stock Exchange tacked on 428.11 points to 17,247.84 by the break, while the Topix index of all first-section shares climbed 2.52 percent, or 34.08 points, to 1,386.09.
“The Fed pretty much said what markets most wanted to hear — no rate rise for the next three months,” said Daisuke Uno, strategist at Sumitomo Mitsui Banking.
On Wednesday, the dollar rose after the Fed signalled no shift in its expectation to raise interest rates in 2015.
The Federal Open Market Committee “judges that it can be patient in beginning to normalise the stance of monetary policy,” the Fed’s policy arm said in a statement after a two-day meeting.
The central bank said the policy was consistent with its prior statement that it would only begin normalisation “a considerable time” after the end of massive asset purchases, known as quantitative easing, which occurred at a meeting in October.
On Wall Street, the Dow surged 1.69 percent, the S&P 500 rose 2.04 percent and the Nasdaq advanced 2.12 percent.
The dollar surged in New York to 118.63 yen from 117.07 yen in Tokyo earlier Wednesday. On Thursday in Asia it jumped to 118.99 yen before settling back to 118.49 yen.
A weak yen is a positive for Japanese exporters as it makes them more competitive abroad and inflates profits when they are repatriated.
Sony soared 4.37 percent to 2,468.5 yen a day after its Hollywood studio cancelled the December 25 release of “The Interview”, a parody film that has angered North Korea and triggered threats against cinemas from hackers.