Tokyo Stocks Up At Break After ECB Extends Stimulus

TOKYO, Dec 9, (UrduPoint / Pakistan Point News - 09th Dec, 2016 ) - Tokyo shares rose tracking overseas markets which jumped on the European Central Bank's move to extend its stimulus programme. Investors cheered dovish aspects of the European Central Bank's decision, including the extension of its bond-purchase programme until December 2017.

"The latest move by the ECB signals easy monetary policy for a sustained period," Juichi Wako, a senior strategist at Nomura, told Bloomberg news. The benchmark Nikkei 225, which posted this year's best close on Thursday, added 1.11 percent, or 208.62 points, to sit at 18,974.09 by the lunch break.

The broader Topix index of all first-section issues was up 0.

60 percent, or 9.03 points, to 1,521.72. Japanese shares also won support from a rise in the Dollar against the yen, which boosts the outlook for exporters' profits.

The dollar has been on the rise in anticipation of an expected interest rate hike this month by the US Federal Reserve. "A rise in US interest rates, backed by an economic recovery, should be good for Japanese banks that operate internationally, while the Yen hovering around 114 to the dollar provides relief," Wako said.

In Tokyo, the dollar bought 114.42 yen Friday from 113.95 yen in New York. In Tokyo share trading, Sony jumped 3.06 percent to 3,361 yen while Toyota was up 0.45 percent to 7,016 yen.