TOKYO: Japanese shares rose on Wednesday as a weaker yen boosted exporters, while retail investors scooped up stocks set to go ex-dividend after the current session.

The Nikkei was up 1.01% at 40,804.85 by the midday break, while the broader Topix rose 0.89% to 2,805.45.

“The yen weakened as an official of the Bank of Japan spoke during the session, which prompted investors to buy stocks,” said Shuutarou Yasuda, a market analyst at Tokai Tokyo Intelligence Laboratory.

BOJ board member Naoki Tamura said earlier in the session the central bank must proceed slowly but steadily toward normalising its ultra-loose monetary policy.

“Tamura was seen in the market as a hawkish official but what he said today was within what BOJ Governor (Kazuo) Ueda had said previously,” Yasuda said.

The dollar/yen rose to 151.95 after the midday break, its highest level since 1990. Japanese stocks rose also due to demand for shares with higher dividend payouts, strategists said.

Uniqlo-brand owner Fast Retailing rose 1.27% to become the biggest boost for the Nikkei.

Air-conditioning maker Daikin Industries climbed 2.69%.

Banking shares lifted the Topix higher, with Sumitomo Mitsui Financial Group and Mitsubishi UFJ Financial Group rising 2.08% and 1.21%, respectively.

Resona Holdings jumped 5.16% to become the top performer on the Nikkei.

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Property developers jumped 2.63% after a government survey showed the nation’s land prices rose at the fastest pace in 33 years in 2023 and returned to the level seen before the coronavirus crisis.

The index was the top performer among the Tokyo Stock Exchange’s 33 industry sub-indexes.