Share prices in Tokyo on Thursday morning rallied on the back of an announcement by the US Federal Reserve to speed up the tapering of its bond purchases.
The Nikkei Average kicked off the morning session nearly 400 points higher than Wednesday's close.
It went above the 29,000 level at one stage for the first time in nearly three weeks.
US benchmarks also reacted to the news, ending sharply higher on Wednesday. The Dow Jones Industrial Average closed at 35,927, up 383 points.
Analysts say investors believe the policy shift has erased some uncertainty over the economy's direction. Their prime worry is the impact of inflation, rather than a reduction of Fed stimulus.
The Nikkei Average kicked off the morning session nearly 400 points higher than Wednesday's close.
It went above the 29,000 level at one stage for the first time in nearly three weeks.
US benchmarks also reacted to the news, ending sharply higher on Wednesday. The Dow Jones Industrial Average closed at 35,927, up 383 points.
Analysts say investors believe the policy shift has erased some uncertainty over the economy's direction. Their prime worry is the impact of inflation, rather than a reduction of Fed stimulus.
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Summary
US Federal Reserve's decision to accelerate bond purchase tapering led to a rally in Tokyo share prices on Thursday. The Nikkei Average opened nearly 400 points higher, surpassing the 29,000 level for the first time in three weeks. US benchmarks also reacted positively, with the Dow Jones