TOKYO: Japanese shares jumped 1.25 percent on Friday morning after a North Korean rocket, which had raised alarm bells across the region and weighed on markets, failed and splashed into the sea.
The benchmark Nikkei 225 index at the Tokyo Stock Exchange added 119.36 points to 9,644.15, while the broader Topix index of all first-section issues rose 0.69 percent, or 5.56 points, to 815.44.
South Korean and Japanese authorities said Friday that Pyongyang's rocket appeared to disintegrate shortly after blast off, splitting into several pieces
and then falling into the Yellow Sea off the Korean Peninsula.
The projectile had caused particular concern in Japan, where officials put the country's military on standby and reacted furiously to the planned launch over fears the rocket could land in Japanese territory.
"Participants are somewhat relieved after the apparent failure of the launch," Kenichi Hirano, operating officer at Tachibana Securities, told Dow Jones Newswires.
Tokyo traders also took a lead from Wall Street, where shares jumped Thursday on positive economic data in the United States, Asia and Europe.
The Dow Jones Industrial Average closed up 1.41 percent at 12,986.58.
China meanwhile released a raft of economic data Friday that showed its economy grew by a lower-than-expected 8.1 percent in the first quarter, the slowest pace in nearly three years. However, that lifted expectations Beijing will announce fresh monetary easing measures.
On currency markets, the euro fell to $1.3171, from $1.3199 late Thursday in New York, and rose to 106.77 yen, against 106.65 yen.
The dollar firmed to 81.08 yen from 80.74 yen. Shares in Fast Retailing, operator of the Uniqlo cheap chic clothing chain, soared 8.36 percent to 18,930 yen after the firm announced robust first-half earnings on Thursday.
Sony dropped 4.77 percent to 1,455 yen, after its new chief on Thursday outlined his turnaround plans for the loss-making electronics giant, which failed to impress investors.
Nissan Motor rose 1.08 percent to 839 yen on a report that it was planning to build its fourth factory in China. The facility is slated to begin production in 2014, with an annual capacity of 200,000 units, the Nikkei business daily said.