TOKYO, Japan (AFP) —Tokyo’s benchmark stock index extended a record winning streak on Monday as Japanese Prime Minister Shinzo Abe’s victory in a snap election pushed the yen down and boosted exporters.
The Nikkei 225, which on Friday posted a 14th straight day of gains to match a record set in 1961, added 1.15 percent, or 246.51 points, to sit at 21,704.15 in early trade.
The broader Topix index was up 0.96 percent, or 16.70 points, at 1,747.34.
Abe — who came into power in late 2012 on a ticket to reignite the lumbering economy — is now on course to become the country’s longest-serving premier.
“It’s a relief for foreign investors who had bought Japanese stocks aggressively before the election on a bet that Abenomics will continue,” said Masayuki Kubota, chief strategist at Rakuten Securities, referring to Abe’s flagship growth policy.
The greenback strengthened to 113.91 yen against 113.51 yen in New York Friday.
A cheaper yen is a positive for Japanese exporters as it boosts their profitability, spurring demand for their shares.
“Abe policies should remain accommodative and point to a weaker yen over time,” said Stephen Innes, who heads Asia-Pacific trading at forex firm OANDA.
A cheaper yen boosted carmakers, with Nissan up 1.25 percent at 1,092.5 yen and Honda rising 0.99 percent to 3,462 yen.
Panasonic rose 1.67 percent to 1,664.5 yen and Canon climbed 0.42 percent to 4,047 yen.
Major bank Mitsubishi UFJ Financial rose 1.42 percent to 738.2 yen.
© Agence France-Presse
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