Tokyo stocks rose this morning with investors buoyed by the Dow's record-setting advance on Wall Street, while the dollar's rise to four-month highs against the yen boosted exporters.
After Donald Trump's unexpected victory over market- favourite rival Hilllary Clinton investors are now banking on business-friendly policies and measures to boost the US economy, a key driver of world growth.
"We've got through the biggest cause of uncertainty, the US presidential race, and Congress is controlled by business- friendly Republicans," Juichi Wako, a senior strategist at Nomura Holdings, told Bloomberg News.
The benchmark Nikkei 225 index - which shot up almost seven per cent yesterday in a rebound rally after initially sinking on Trump's victory - added 0.28 per cent, or 49.30 points, to 17,393.72.
The broader Topix index of all first section issues was up 0.31 per cent, or 4.25 points, to 1,380.60.
"Prospects of greater US fiscal spending (infrastructure and tax cuts) under a Trump presidency continue to buoy equity markets," National Australia Bank economist Tapas Strickland said in a commentary.
On Wall Street, the blue-chip Dow Jones Industrial Average jumped 1.2 per cent to a record high close, although the tech-heavy Nasdaq dropped on weakness in Amazon, Apple and other tech equities.
In Tokyo, the dollar's rise against the yen lifted shares of exporters - the cheaper currency boosts their profitability. The greenback was trading at 106.44 yen, up from 105.36 yen in Tokyo yesterday.
Toyota climbed 1.61 per cent to 5,932 yen, while heavy machinery maker Komatsu soared 4.51 per cent to 2,522 yen.
Financials surged again with banking giant Mitsubishi UFJ Financial Group piling up 8.73 per cent to 606.2 yen.
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