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TOKYO: Tokyo's benchmark Nikkei index opened higher Wednesday as investors rushed to buy back after a sell-off in the previous session and following a rebound on Wall Street.

The Nikkei 225 index rose 0.72 percent, or 200.81 points, to 28,022.93, while the broader Topix index advanced 0.76 percent, or 14.78 points, to 1,962.53.

The dollar stood at 111.51 yen, little changed from 111.49 yen in New York.

Overnight gains on Wall Street helped improve investor spirit and drove up the Tokyo market, which has been sold down sharply in recent days, Okasan Online Securities said in a note.

The Nikkei's heavy losses in recent sessions was prompting "investors to buy back attractive shares on expectations that the market will be on a path to a self-sustained recovery", the brokerage said.

Tokyo stocks slip with eyes on Japan new government

"There is still a healthy appetite for dip-buying whenever the market slips," it added.

Global investors cheered a better-than-expected reading for non-manufacturing activity in the United States and returned to buying, especially of high-tech and financial shares after dumping them earlier in the week.

Still, they kept their eyes on surging energy prices, with oil edging closer to $80 per barrel, as well as worries about inflation. Among major Tokyo shares, Sony Group rose 1.23 percent to 11,930 yen. Consumer electronics giant Panasonic advanced 1.41 percent to 1,293.5 yen.

Tech investor SoftBank Group firmed 0.65 percent to 6,066 yen. Chipmaker Murata Manufacturing added 1.00 percent to 8,827 yen and electronic parts maker TDK firmed 1.50 percent to 3,715.

Mitsubishi UFJ Financial Group jumped 2.39 percent to 649.9 yen. Top brokerage house Nomura Holdings added 2.28 percent to 555.3 yen.

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