Tokyo jumps to two-month high

Tokyo stocks surged on Thursday, with the benchmark Nikkei average breaking above 9,000 to close at a two-month high, buoyed by a strong rally on Wall Street overnight.

The benchmark Nikkei 225 average closed up 3.4 per cent at 9,176.78, its highest level since September 30, while the broader Topix index rose 2.2 per cent to 888.12.

The US Nasdaq index soared on Wednesday to close at its highest level since June, boosted by strong consumer confidence data, while weekly jobless claims fell to their lowest level in almost two years.

Japanese technology stocks rallied, with consumer electronics maker Sharp gaining 5 per cent to Y1,295 and chipmaker Advantest surging 12.6 per cent to Y6,080. Rival Tokyo Electron was up 8.5 per cent to Y6,150.

Japan's biggest exporters also enjoyed solid gains following some strong US economic data which sparked hopes the world's largest economy was showing signs of recovering. Toyota gained 1 per cent to Y3,220, Sony was 2 per cent higher at Y5,450 and NEC gained 7 per cent to Y499.

Elsewhere, Seiyu gained 3.3 per cent to Y378, on reports that Wal-Mart will exercise an option to increase its stake in the Japanese retailer. The Yomiuri Shimbun said that Wal-Mart will increase its stake in Seiyu to 33.4 per cent, from a current 6.1 per cent by the end of December.

Games-maker Konami closed up 2.6 per cent to Y3,120, ahead of its interim earnings results, which are expected to be strong. Earlier this month, Konami said it expected to report a 60 per cent increase in interim profit, year-on-year.