Nikkei Closes at 30Year High, Inauguration Sparks Optimism

TOKYO, Jan 21 Reuters Japanese shares hit their highest close in 30 years, taking cues from solid overnight performances on Wall Street, on investor optimism over upbeat corporate earnings and that new U.S. administrations massive stimulus package will bolster growth.

Nikkei share average gained 0.82 to 28,756.86, the highest close since August 1990, while the broader Topix inched up 0.6 to 1,860.64.

Republicans in the U.S. Congress have indicated they are willing to work with President Joe Biden on his administrations top priority, a 1.9 trillion U.S. fiscal stimulus plan, but some are opposed to the plans price tag.

Asian stocks touched alltime highs as investors hoped for more economic stimulus from the Biden administration to offset damage wreaked by the COVID19 pandemic.

The market rose on expectations for more stimulus packages in the United States, said Yoshihiro Takeshige, general manager at investment management department of Asahi Life Asset Management.

Another positive factor is that Japanese manufacturers could revise up their earnings forecast, particularly those benefiting from a recovery in Chinese economy.

Many companies are lined up for reporting their quarterly numbers, starting from Monday. Nidec Corp, which has risen more than 10 this month, will be one of the first companies to announce the results.

Dentsu Group jumped 5.26, becoming the largest gainer in the index, after a report that the advertising giant is considering the sale of its…

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