Tokyo stocks rose Friday with automakers and banks rallying, while Toshiba erased early losses despite fears that its troubled US nuclear unit is headed for bankruptcy. Exporters benefited as the dollar punched above 115 yen for the first time since the end of January, ahead of a key US jobs report likely to seal the case for the Fed to raise rates. Sentiment also got a lift after European Central Bank President Mario Draghi on Thursday offered an upbeat outlook for the eurozone economy.
"The yen's decline is a main factor behind today's solid gains," said Toshikazu Horiuchi, a broker at IwaiCosmo Securities.
"The market appears convinced that the Fed will raise rates, while investors are expecting encouraging US payroll figures. All in all, Tokyo market sentiment is upbeat."
A cheaper yen boosts the profitability of Japan's major exporters, stoking demand for their shares.
Tokyo's benchmark Nikkei 225 index rallied 1.48 percent, or 286.03 points, to end at 19,604.61. It tacked on 0.69 percent over the week.
The broader Topix index of all first-section issues rose 1.24 percent, or 19.33 points, to 1,574.01. It gained 1.02 percent for the week.
The Fed's policy meeting and chair Janet Yellen's remarks will likely dominate investors' attention next week, as well as a slew of US economic data including inflation and retail sales. The Bank of Japan also holds a policy meeting, but it is widely expected to hold steady.
Toyota rose 1.34 percent to 6,520 yen, while rival Nissan gained 1.45 percent to 1,158 yen.
Uniqlo operator Fast Retailing, a market heavyweight, rose 2.22 percent to 36,840 yen and Sony jumped 3.65 percent to 3,651 yen. On Thursday, Standard & Poor's raised Sony's credit rating, saying a wide-ranging restructuring had "greatly reduced the downside risk to earnings" in its hard-hit electronics business.
Banking giant Mitsubishi UFJ rose 1.68 percent to 769.6 yen and rival Sumitomo Mitsui Financial Group tacked on 1.60 percent to finish at 4,395 yen.
Toshiba, which dropped more than three percent in early trade, ticked up 1.71 percent to 208.3 yen. It dived seven percent Thursday. The firm has been reeling from huge losses at its US nuclear business, with fears mounting that the hard-hit unit is headed for bankruptcy protection.
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