TOKYO: Japanese shares gained more than 1% on Monday, tracking Wall Street futures higher in early Asian trade, on hopes of a new U.S. coronavirus relief deal before the presidential election.
The benchmark Nikkei share average rose 1.12% to 23,672.60, with 212 advancers on the index against 10 decliners. The broader Topix gained 1.31% to 1,638.88.

All 33 sector sub-indexes on the Tokyo exchange traded higher, with shippers, rubber products and textiles being the three top performers on the main bourse.

Shares were lifted by S&P 500 e-mini futures jumping 0.6% after U.S. House Speaker Nancy Pelosi said she was optimistic that legislation on a wide-ranging coronavirus relief package could be pushed through before the Nov. 3 election.

But with Treasury Secretary Steven Mnuchin in the Middle East until Tuesday, analysts suspect a deal to be a long shot.

On the Japanese data front, Japan’s exports in September fell at a slower pace than in the previous six months as U.S.-bound shipments of cars started to recover from lows brought about by the COVID-19 outbreak, suggesting the pandemic’s pressure on the economy was easing.

Markets shrugged off data from China showing economic recovery disappointed in the third-quarter, growing 4.9% from a year earlier and missing analyst expectations.

Film and entertainment company Toho Co soared nearly 4.5% after it made upward revisions to its net profit forecast.

Elsewhere, Toshiba Corp climbed 3.24% to post its highest level since September 2019 after the company said it aims to generate $3 billion in revenue from its quantum cryptography by 2030. 

Reuters