Tokyo share prices edged up 0.6 per cent today on investors' high hopes for an economic policy to be presented by Japan's reform-minded new leader Mr Junichiro Koizumi, brokers said.
The Tokyo Stock Exchange's Nikkei average closed up 84.32 points at 13,827.50, following the previous day's 27.58-point rebound on Mr Koizumi's election as head of Japan's ruling Liberal Democratic Party.
Hi-tech and telecom issues led the advance, shrugging off overnight declines on Wall Street, with banks and contractors also buoyed by Mr Koizumi's vow to speed up the disposal of bad loans, brokers said. shares.
A former welfare minister, Mr Koizumi beat the odds to become the LDP chief after repeatedly promising to push for the speedy writing-off of bad loans held by banks and to embark on structural reforms.
"With his promises on bad loans, banking shares and shares in construction contractors are up," said one dealer.
But some investors remained cautious as they awaited for the release of annual earnings reports from major hi-tech and electrical firms, including NEC Corp. and Sonydue out later in the week, brokers said.
AFP