Japan Shares Jumped on Fed’s Growth Forecast

Japanese stocks jumped Thursday, March 18th, while the Topix index reached a 30-year high, supported by the US Federal Reserve’s expectation of rapid economic growth and its pledge to keep interest rates low.

The broader Topix index advanced 1.23% to close at 2008.51 points, surpassing the 2000 level for the first time since May 1991. The Nikkei index jumped 1.01% to 30216.75 points, its highest in three weeks.

The S & P500 and DowJones industrial indexes closed at record highs on Wednesday after the US central bank said the country’s economy was heading towards the strongest growth in nearly 40 years, fueled by federal fiscal stimulus and the distribution of Covid-19 vaccines.

In Japan, chip-related shares advanced, while the heavyweight Tokyo Electron jumped over the Nikkei 2.72 percent, Fanuc gained 1.94 percent, and Advantest advanced 3.32 percent.