Tokyo shares advanced Monday following remarks from Federal Reserve Chairwoman Janet Yellen suggesting that an interest rate hike would be appropriate.
Meanwhile, the yen weakened against the dollar and local press reported that Japan is set to postpone a controversial sales tax increase slated for next year. Also, China fixed the daily reference rate of the yuan at 6.5784, its lowest daily rate against the dollar since February of 2011.
The Nikkei 225 surged 1.4 percent to close at 17,068. Other Asian indices posted more modest gains. Hong Kong’s Hang Seng finished up 0.26 percent to 20,629, while Shanghai’s SSE gained 0.05 percent to 2,822.
Fast Retailing Co. Ltd. rose 1.3 percent to 29,385 yen, while Shiseido Co. gained 2.6 percent to 2,916 yen. Isetan Mitsukoshi Holdings advanced 2.5 percent to 1,058 yen, while Matsuya rose 2.3 percent to 845 yen.