TOKYO: Tokyo's benchmark Nikkei index jumped more than 1.7 percent Tuesday, following a record performance on Wall Street, as investors welcomed a forecast that Japan's ruling party will secure a majority in general elections.
The Nikkei 225 index gained 1.77 percent, or 505.60 points, to close at 29,106.01, while the broader Topix index rose 1.15 percent, or 22.98 points, to 2,018.40.
The advances came after the Dow and S&P 500 finished at all-time highs, extending a bullish run fuelled by strong earnings.
"Positive sentiment was also supported by a news report forecasting the ruling party's victory," said Toshikazu Horiuchi, a broker at IwaiCosmo Securities.
The Asahi Shimbun said Prime Minister Fumio Kishida's ruling Liberal Democratic Party was on course to win a majority of seats in general elections on Sunday. "The Nikkei is likely to rise further if big companies show positive results," Horiuchi told AFP.
Sony will announce its first-half results on Thursday as the corporate earnings season gets into full swing this week.
The dollar changed hands at 113.89 yen, against 113.71 yen in New York on Monday.
Tech-related shares were among winners as investors bought on dips following recent declines.
Tokyo Electron, which makes tools to build semiconductors, jumped 2.35 percent to 51,310 yen and tech investor SoftBank Group gained 1.76 percent to 6,500 yen.
Japan Post surged 4.91 percent to 878.6 yen after the government said it would raise more than 800 billion yen from selling shares in Japan Post.
Uniqlo operator Fast Retailing surged 5.04 percent to 73,530 yen on bargain-hunting, while Sony gained 2.64 percent to 13,410 yen.
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