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TOKYO: Japanese shares climbed a tick higher to end firmer on Thursday on subtle signs that the global economy was emerging from the coronavirus lockdown, though investors maintained a cautious stance after Tokyo reported a spike in Covid-19 cases.

The benchmark Nikkei average edged up 0.1% to 22,145.96, partially clawing back from the previous session's losses of 0.8%, with cyclical stocks lifting the index.

The broader Topix rose 0.3% to 1,542.76, with about three-thirds of the 33 sector sub-indexes on the Tokyo exchange finishing higher.

Highly cyclical air transport, sea transport and transport equipment indexes were among the top performers on the main bourse.

Toyota Motor advanced 1.8%, one day after US electric carmaker Tesla overtook the company to become the highest-valued automaker in terms of market capitalization.

Bucking the overall firmness, the index of Mothers start-up market slumped 5% to hit its lowest closing level since May 28, with biotech AnGes nose-diving 11.9%.

Large-cap stocks outperformed the small-cap shares, with the Topix Large index gaining 0.4% and the Topix Small falling 0.8%.

Soichiro Matsumoto, chief investment officer Japan at Credit Suisse, called the current Nikkei's level of around 22,000 "a pretty good level" for many investors.

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