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Japanese stocks surge in morning trading, helped by another record on Wall Street

Japanese stocks surge in morning trading, helped by another record on Wall Street

Japanese stocks surged Thursday as investors picked up underpriced issues following losses the day before and another record on Wall Street.
The benchmark Nikkei 225 index rose 263.66 points, or 1.64 percent, to 16,346.21 points on the Tokyo Stock Exchange at midday. The index nearly 1 percent Wednesday.
Investors welcomed the advance on Wall Street, where Dow Jones industrial average surged to 11,950.61, a second straight record close as investors grew more optimistic about a possibility that the Federal Reserve will lower interest rates.
Good news in the U.S. tends to buoy sentiment in Japan because the U.S. is Japan's biggest export destination.
Nissan Motor Co.'s stock gained ground after it, France's Renault SA and General Motors Corp. said they agreed to call off talks about a possible three-way tie-up.
Toshiba Corp. dipped over investor worries about the financial burden from its acquisition of Westinghouse Electric Co. Toshiba said the previous day it expects to complete its takeover of the U.S. producer of atomic power plant equipment by the end of this month.
The broader Topix index, which includes all shares on the exchange's first section, was up 20.32 points, or 1.27 percent, at 1,622.31.
In currencies, the dollar was trading at 117.65 yen on the Tokyo foreign exchange market at 11 a.m. (0200 GMT) Thursday, down from 117.89 yen from late Wednesday in New York. The euro fell to US$1.2700, from US$1.2713.
The yield on Japan's 10-year government bond was 1.7200 percent, unchanged from Wednesday's finish. Its price was also unchanged at 99.83.