TOKYO, March 18 (Reuters) - Japanese shares jumped on Thursday, with the Topix index hitting a 30-year high, propelled by the U.S. Federal Reserve's projection for a rapid economic growth and pledge for low rates.
The broader Topix .TOPX advanced 1.23% to close at 2,008.51, crossing the 2,000 mark for the first time since May 1991. The Nikkei index jumped 1.01% to 30,216.75, its highest close in three weeks.
"Investors have a lot of reasons to sell stocks at the end of the fiscal year end March, but today their appetite for making bets greatly exceeded the sell-off pressure," said Takatoshi Itoshima, strategist at Pictet Asset Management.
"The Fed gave investors confidence by brushing off uncertainties of the rate outlook by pledging to keep its interest rate at close to zero."
The S&P 500 and Dow Jones Industrial Average closed at record highs on Wednesday after the Fed said the U.S. economy is heading for its strongest growth in nearly 40 years, fuelled by massive federal fiscal stimulus and the roll-out of COVID-19 vaccines. .N Japan, chip-related shares advanced, with Nikkei heavyweights Tokyo Electron 8035.T jumping 2.72%, Fanuc 6954.T gaining 1.94% and Advantest 6857.T rising 3.32%.
The airliners gained, with ANA Holdings 9202.T and Japan Airlines 9201.T rising 1.32% and 1.46%, respectively, as the Japanese government's advisory panel on coronavirus countermeasures approved a plan to let the state of emergency expire in the Tokyo area as scheduled on March 21. Electric Power 9507.T surged 5.26% after a media report said a court ruled that the utility can resume operations of its only nuclear reactor. UFJ Financial Group 8306.T , up 5.15%, and Toyota Motor 7203.T , which rose 4.12%, were the biggest advancers on the Topix 30.
Add Chart to Comment
We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:
- Enrich the conversation
- Stay focused and on track. Only post material that’s relevant to the topic being discussed.
- Be respectful. Even negative opinions can be framed positively and diplomatically.
- Use standard writing style. Include punctuation and upper and lower cases.
- NOTE: Spam and/or promotional messages and links within a comment will be removed
- Avoid profanity, slander or personal attacks directed at an author or another user.
- Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
- Only English comments will be allowed.
Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.