The Tokyo Stock Exchange has closed higher.
The Tokyo Stock Exchange has closed higher.

Japan's Nikkei climbed 1.8 per cent, ending near a key resistance level as short-covering emerged on a sense the market had been oversold, with investors also taking heart from gains in the euro.

The benchmark Nikkei climbed 174.60 points to 9879.85, its highest finish in about a week and almost matching its 25-day moving average of slightly above 9880.

The broader Topix gained 1.4 percent to 878.56.

Chip-linked shares such as Advantest Corp rose after U.S. peers gained on stronger-than-expected results by a major chipmaker that suggested improving demand, with strong U.S. consumer sentiment data reassuring investors about the health of the economy following an unexpected drop in retail sales.

The West Australian

Popular videos

Compare & Save

Latest

Compare & Save

More from The West