TOKYO, May 5 — Tokyo stocks closed sharply higher today, as investors looked beyond grim economic news to focus on easing coronavirus lockdown measures in parts of the US.

The benchmark Nikkei 225 index ended up 2.56 per cent, or 504.32 points, at 20,179.09. Over the two-day trading week, the index gained 2.85 per cent.

The broader Topix index climbed 2.21 per cent, or 31.55 points, to close at 1,458.28. Over the week, the index rose 1.88 per cent.

Japanese markets were closed until yesterday for the annual "Golden Week” holidays.

Daiwa Securities put the bullish sentiment in Japan down to "hopes for restarting economic activities” as countries begin to reverse strict lockdown measures imposed over the coronavirus.

The dollar fetched ¥106.41 (RM4.33) in Asian trade, against 106.26 yen in New York.

In Tokyo, blue-chip exporters were generally higher, with Sony advancing 2.29 per cent to ¥6,948 and Toyota closing up 1.21 per cent at ¥6,492.

Nintendo dropped 3.90 per cent to ¥44,300 on profit-taking after the Japanese gaming giant said it had notched up annual net profits of ¥258.6 billion (US$2.4 billion) in the fiscal year to March, a gain of 33 per cent from the year before.

Fujifilm rallied 3.62 per cent to ¥5,287 after it said it started selling test kits in Japan that detect the coronavirus in about 75 minutes — significantly faster than the four to five hours that an existing test method takes.

Japan’s household spending in March dropped 6.0 per cent from a year earlier, as the virus slammed spending on leisure activities, clothes, and eating out, according to official data released before the opening bell. — AFP