
Tokyo stocks experienced a significant rally, with the Nikkei 225 index closing at 40,281.16 points, marking a 1.8% increase and surpassing the 40,000-point threshold for the first time in about five months. This surge was driven by a broad-based buying interest, particularly in the auto sector, which saw gains amid a weaker yen. Toyota Motor Corp. was a standout performer, with its shares rising nearly 11% over two days, fueled by reports that the company aims to double its return on equity target to 20%. The yen's depreciation to around 158 against the dollar further bolstered exporter stocks, including Toyota, Honda, and Nissan, as a weaker currency enhances the value of overseas earnings when repatriated to Japan. The market's upward momentum was also supported by the anticipation of new year trading and the implementation of the new NISA (Nippon Individual Savings Account) tax-exempt investment scheme.



