Tokyo stocks rose Thursday led by gains in major technology shares after upbeat earnings from U.S. semiconductor giant Nvidia Corp. boosted sentiment in Japan.
The 225-issue Nikkei Stock Average ended up 486.12 points, or 1.26 percent, from Wednesday at 39,103.22. The broader Topix index finished 17.39 points, or 0.64 percent, higher at 2,754.75.
On the top-tier Prime Market, gainers were led by electric appliance, machinery and textile and apparel issues.
The U.S. dollar was firm in the upper 156 yen range in Tokyo amid expectations U.S. interest rates will remain high after the minutes of the Federal Reserve's last policy meeting showed central bank officials were cautious about cutting rates amid persistent inflation, dealers said.
Stocks were up for much of the day in the wake of Nvidia's first-quarter earnings that exceeded expectations of market participants who were anticipating favorable results from the key driver in the artificial intelligence boom.
Semiconductor-related firms gained ground, with Advantest, Tokyo Electron, Lasertec and Shin-Etsu Chemical lifting the market.
"Some investors were cautious about the market's possible plunge before Nvidia releases earnings, but the results provided a sense of relief, leading to an inflow of funds for buying shares," said Koichi Fujishiro, senior economist at the Dai-ichi Life Research Institute.
Meanwhile, energy-related stocks were sold after the U.S. benchmark oil futures contract fell on prospects of weakening demand after the Fed minutes indicated U.S. interest rates could stay high for longer, analysts said.
