Tokyo’s benchmark Nikkei Stock Average briefly topped the 40,000 level for the first time in about 3 months. Tuesday’s gains followed an overnight rally in New York on optimism for the US economic outlook. That’s largely due to expectations of robust corporate earnings.
The Nikkei 225 ended at 39,910, up 0.77 percent from Friday’s close. Monday was a national holiday in Japan.
Semiconductor and auto-related shares led the way.
The index gained more than 650 points at one stage.
Analysts say investors bought up export-related stocks on the weaker yen, which fell to just below the 150 level against the dollar.
The Nikkei later trimmed its gains as some market players locked in profits after the Japanese currency strengthened slightly.