Japanese stocks soared in Thursday morning trading bolstered by a rally on Wall Street. The benchmark Nikkei 225 Stock Average gained 247.56 points, or 2.67 per cent, to trade at 9,527.21 while the broader Topix index was up 19.96 points, or 2.37 per cent, at 861.47.
Exporters rose sharply as both the euro and the dollar strengthened against the yen. Wall Street surged overnight, recovering from last week’s drubbing with the blue—chip Dow Jones Industrial Average crossing the key 10,000—point mark. On currency markets at 11 am (0200 GMT), the dollar traded at 88.15—20 yen, up from Wednesday’s 5 pm quote of 87.18—20 yen.
The euro traded at 1.2666—2668 dollars, up from 1.2583—2585 dollars Wednesday, and at 111.64—68 yen, up from 109.70—74 yen. A weaker yen makes Japanese exports more competitive and improves overseas profits when the revenues are repatriated.
