Japan‘s Nikkei closed 1 percent higher as investors hunted for beaten-down technology stocks, with sentiment underpinned by gains in Asian stocks and US futures.
The Nikkei share average advanced 1.03 percent, to 26,423.47. The broader Topix rose 0.5 percent to 1,879.12.
“Investors took a fresh view on technology and growth stocks as U.S. yields stabilised.” They were buying back shares that fell too much. ” Shoichi Arisawa, general manager of the investment research department at IwaiCosmo Securities.
US President, Joe Biden, considering scrapping tariffs on a range of Chinese goods to curb inflation, also lifted overall sentiment, Arisawa said.
With US markets closed due to a holiday, European stocks rallied 0.8 percent and Britain’s FTSE rose over 1 percent, while Asian shares inched up as positive economic data and hints of easing Sino-US tensions offered some respite from the recent sell-offs.
Back in Japan, Uniqlo owner Fast Retailing jumped 4.33 percent to become the biggest boost for the Nikkei. Technology investor SoftBank Group rose 1.8 percent and chip making equipment maker Tokyo Electron gained 0.38 percent.
Mobile phone services provider KDDI climbed 1.49 percent, rebounding from a previous session’s loss, which was fueled by a system failure that affected almost 40 million users nationwide.
Rakuten Group added 1.62% after the e-commerce firm said it has applied to list its online banking unit on the Tokyo Stock Exchange.
Shipping firms were weak, with Kawasaki Kisen Kaisha losing 4.51 percent and Mitsui O.S.K. Lines falling 2.75 percent to become the top losers on the Nikkei.
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